buying a house from an owner

Ok there is a house me and the DH LOVEEEEEEEEEEEEEEEEEEEEEEEEEEE! It is a fixer upper. We saw it a few months back with a real estate agent. THey were asking 409K for it. Now the house needs a lot of work(ie kitchen and bathroom) and most people do not get their asking price if the place is a fixer upper.

We saw the owners when we looked at the house and we know their real estate agent contract is up in Jan and the house doesnt seem to be sold and it was taken off the market.

Me and the DH were considering writing the owners a letter and offering them 350-360 for it. So now all the $ go straight to the owner and no agent fees for them. We also have no rush to get into the home nothing to sell and we can break our apt. lease at anytime, which would give them time to move themselves.

Is this a stupid idea has anyone else done that?

Advice? I mean we have nothing to lose I think...they can counter offer if they want...or just ignore the letter

Re: buying a house from an owner

you're right - you have nothing to lose. Does the $409K asking price already reflect that the house needs fixing? what are similar houses selling for.

No houses are selling for asking price in today's market, unless sellers concessions are built into the price.

If it was taken off the market, they may not be serious about selling.

Good Luck!

Re: buying a house from an owner

I say go for it, you have nothing to lose!

Re: buying a house from an owner

if you LOVE the house, i would try and guestimate how much the renovations would be, deduct that from the asking price and then offer about another 5-10k less than that. you have to be careful as not to offend the sellers by offering a really low-ball price.

good luck!!!

Re: buying a house from an owner

I stop by and speak to them- I wouldn't send a letter

Re: buying a house from an owner

I would speak to them instead of writing a letter (they might not remember you unless they see you). Now even though their contract is up in Jan. and the sign is down they usually have some clause in the contract that says the agent is still entitled to the orginal fee after so many months is the sellers sell it on their own. In my contract with our agent it is one month after some have it longer, ie.: with ours, our contract was up 12/31/06 and they have until 01/30/07 to receive the commission. So when you speak to them I would ask about this and let them know you are intrested and maybe even give them a binder if you agree on a price but dont do anything further until after the contract is completely up.

Re: buying a house from an owner

Re: buying a house from an owner

i would go for it! we bought our first house as a fsbo- and it is great. so much easier than dealing with a real estate..

dont write a letter talk in person!

Re: buying a house from an owner

Im pretty sure since you saw it with a RE agent originally they would still need to pay them even if the contract expires

It depends on how they worded their agreement

Either way, good luck!!

Re: buying a house from an owner

Re: buying a house from an owner

Thanks!

I am prob still going to write a letter. If I was the seller I would feel uncomfortae if someone shows up at my door.

I will send a letter and put in their ballpark. If they call they call or email whatever...

I love this house! Wish me luck!

THanks for all the advice!

Re: buying a house from an owner

Our contract states that there is a 3 month window after the expiration that we would have to give the real estate agent commission. Definitely take a look.

Re: buying a house from an owner

Re: buying a house from an owner

go for it....Good Luck!!!!!!!!!!!!

Re: buying a house from an owner

Posted by dbleplay17

Ok there is a house me and the DH LOVEEEEEEEEEEEEEEEEEEEEEEEEEEE! It is a fixer upper. We saw it a few months back with a real estate agent. THey were asking 409K for it. Now the house needs a lot of work(ie kitchen and bathroom) and most people do not get their asking price if the place is a fixer upper.

We saw the owners when we looked at the house and we know their real estate agent contract is up in Jan and the house doesnt seem to be sold and it was taken off the market.

Me and the DH were considering writing the owners a letter and offering them 350-360 for it. So now all the $ go straight to the owner and no agent fees for them. We also have no rush to get into the home nothing to sell and we can break our apt. lease at anytime, which would give them time to move themselves.

Is this a stupid idea has anyone else done that?

Advice? I mean we have nothing to lose I think...they can counter offer if they want...or just ignore the letter

Re: buying a house from an owner

Posted by MrsT

Posted by dbleplay17

Ok there is a house me and the DH LOVEEEEEEEEEEEEEEEEEEEEEEEEEEE! It is a fixer upper. We saw it a few months back with a real estate agent. THey were asking 409K for it. Now the house needs a lot of work(ie kitchen and bathroom) and most people do not get their asking price if the place is a fixer upper.

We saw the owners when we looked at the house and we know their real estate agent contract is up in Jan and the house doesnt seem to be sold and it was taken off the market.

Me and the DH were considering writing the owners a letter and offering them 350-360 for it. So now all the $ go straight to the owner and no agent fees for them. We also have no rush to get into the home nothing to sell and we can break our apt. lease at anytime, which would give them time to move themselves.

Is this a stupid idea has anyone else done that?

Advice? I mean we have nothing to lose I think...they can counter offer if they want...or just ignore the letter

They have a contract with the agent not you, right It's not a buyer's agent

If it's the Seller's agent then you do not have to worry as much about their contract with the agent. If they want to sell to you and they are willing to risk that their agent will find out then that's on them.

My listing contracts all include a clause whereby I earn the commission even if the listing agreement expired if I brought the buyer to the property during the term of the listing agreement and if the contract to purchase is signed up to 90 days after the listing agreement expires so long as there is no exclusive right to sell contract with a new agent in place.

Re: buying a house from an owner

Posted by dbleplay17

Posted by MrsT

Posted by dbleplay17

Ok there is a house me and the DH LOVEEEEEEEEEEEEEEEEEEEEEEEEEEE! It is a fixer upper. We saw it a few months back with a real estate agent. THey were asking 409K for it. Now the house needs a lot of work(ie kitchen and bathroom) and most people do not get their asking price if the place is a fixer upper.

We saw the owners when we looked at the house and we know their real estate agent contract is up in Jan and the house doesnt seem to be sold and it was taken off the market.

Me and the DH were considering writing the owners a letter and offering them 350-360 for it. So now all the $ go straight to the owner and no agent fees for them. We also have no rush to get into the home nothing to sell and we can break our apt. lease at anytime, which would give them time to move themselves.

Is this a stupid idea has anyone else done that?

Advice? I mean we have nothing to lose I think...they can counter offer if they want...or just ignore the letter

They have a contract with the agent not you, right It's not a buyer's agent

If it's the Seller's agent then you do not have to worry as much about their contract with the agent. If they want to sell to you and they are willing to risk that their agent will find out then that's on them.

My listing contracts all include a clause whereby I earn the commission even if the listing agreement expired if I brought the buyer to the property during the term of the listing agreement and if the contract to purchase is signed up to 90 days after the listing agreement expires so long as there is no exclusive right to sell contract with a new agent in place.

Nope you are right sellers agent. I was just wondering if it was stupid to see if they were still interested in selling by sending them a letter....we feel awkward knocking on their door

Message edited 1/2/2007 9:18:14 PM.