All Topics / Help Needed! / How long does it normally take to get a reply from an offer ?

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  • Profile photo of MisterMister
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    @mister
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    Hi Guys

    I've only ever bought three properties so far and every one has been an in person or phone negotiation .

    With the latest I haven't actually even spoken with the rep at all as the bugar is never answering his phone. Anyway I checked out  the property but a wk or so later I decide to put in an offer and again his not answering so I had the main desk fax me their offer form . Next day I faxed it back with my offer – that was only Thurs' but eh – really hoping I get this one.

    What's the norm time spand if any , procedure, whatever with this stuff . Few days I guess min' while they fax to owner , he thinks , replies whatever I suppose ?
    Do they still bother if it's a rude offer , or if they aren't interested is there still an obligation to at least give the customer an answer or what's the go ?

    Cheers

    Profile photo of IP FreelyIP Freely
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    Generally one or two days is reasonable – there may be a reason eg vendor is away/not contactable (or one of the partners is not contactable eg all shareholders of small investment company/beneficiaries of a will) If possible, keep contacting the agent or the licensee (boss of the agency) & let them know how poorly the agent is performing.

    I have had an offer sitting with a client for 6 weeks with the prospective purchaser waiting for a decision – obviously the vendor is not pushed (and I am too many steps removed to place any pressure on them).

    Profile photo of businessglobalbusinessglobal
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    I would contact the principal and also fax a letter stating that this offer is only valid til


    /


    /


    am/ pm, and I would beef up the deposit and shorten the settlement and see how you go.

    If a property on the market obviously they want to sell, and it is all agents crap to say cant contact the owners etc- in this day of email, fax, mobiles, pigeons, couriers- I bet if it was a good cash offer, youd have it signed up very quick.

    Even if they are not interested in your offer, most people respond, or cross out your offer and counter offer. It is an agents ethical job to submit all offers, and they are only the go between. I would ring principal and discuss it with them and also fax and expiry of offer letter and tell them you have others your looking at.

    Profile photo of MisterMister
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    Thanks for those replies guys .

    It is a cash and quick settle offer , not all that rude either really . I  mean right now if your not offering at least 20% lower you shouldn't be buying in most cases I don't think so considering that it's actually quite reasonable .
    I chuckled after posting this question though,  I must have been the only person in the country offering anything on anything last week of all weeks .

    Cheers

    Profile photo of Jon ChownJon Chown
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    I chuckled after posting this question though,  I must have been the only person in the country offering anything on anything last week of all weeks .

    Not at all, I sold two last week and enquiry from genuine buyers has increased quite a bit.   Good properties priced well are still selling to genuine purchasers.

    As to your 20% below list offer – you may well think that it is a good price (for you) but I can assure you that as an agent, it would not get me jumping to help you.   RP Data have an interesting calculator that shows the average difference between Advertised price and actual sale price and in the area that I am servicing the average discount is 5.8%.

    Not making excuses for agents, and if this person has not contacted you, especially after an written offer, I can't believe it.   Did you leave your name and contact numbers?  Is this a regional area?

    Profile photo of MisterMister
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    Jon Chown wrote:
    I chuckled after posting this question though, I must have been the only person in the country offering anything on anything last week of all weeks .

    Not at all, I sold two last week and enquiry from genuine buyers has increased quite a bit. Good properties priced well are still selling to genuine purchasers.

    As to your 20% below list offer – you may well think that it is a good price (for you) but I can assure you that as an agent, it would not get me jumping to help you. RP Data have an interesting calculator that shows the average difference between Advertised price and actual sale price and in the area that I am servicing the average discount is 5.8%.

    Not making excuses for agents, and if this person has not contacted you, especially after an written offer, I can't believe it. Did you leave your name and contact numbers? Is this a regional area?

    Thanks John ,  nice to know I'm not the only one then
    Depends on whats going on in your specific area , yours must be a doosey if that's the case but they are gonna give you the best stats aren't they .
    I've seen plenty of drops much bigger than 20% though and if you go paying silly asks with sellers refusing to acknowledge the fact in falling market areas your asking for trouble.
    Yeah it is regional but for good reason.

    Cheers

    Profile photo of chrislangchrislang
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    Jon Chown wrote:

    As to your 20% below list offer – you may well think that it is a good price (for you) but I can assure you that as an agent, it would not get me jumping to help you.   RP Data have an interesting calculator that shows the average difference between Advertised price and actual sale price and in the area that I am servicing the average discount is 5.8%.

    It is my understanding that every area is different (even within the same suburb) and one would need to compare the asking price and the selling price in that specific area to know what discount applies – the average is not good enough. This is what works for me anyway.

    Profile photo of MisterMister
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    chrislang wrote:
    Jon Chown wrote:

    As to your 20% below list offer – you may well think that it is a good price (for you) but I can assure you that as an agent, it would not get me jumping to help you. RP Data have an interesting calculator that shows the average difference between Advertised price and actual sale price and in the area that I am servicing the average discount is 5.8%.

    It is my understanding that every area is different (even within the same suburb) and one would need to compare the asking price and the selling price in that specific area to know what discount applies – the average is not good enough. This is what works for me anyway.

    .
    To my thinking Hipe and averages around now are still coming from the boom , the boom was fake , a twilight zone .
    The safest way now is taking a good look at the whole situation in a particular spot for the future not the past and making up your own mind based on that .  If they don't like your price tough find someone else that does .

    Cheers

    Profile photo of Jon ChownJon Chown
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    To my thinking Hipe and averages around now are still coming from the boom

    No, in fact the averages are based on properties sold over the last three months.   Not much fresher than that.

     If they don't like your price tough find someone else that

    Yep!  Thats one way.   Let me know how many properties you buy over the next 12 months.   I know, I know – you only need one.   I'm sure it's out there with your name on it, you keep looking.   On the side though – what's your hourly rate worth?

    Profile photo of MisterMister
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    Ooow that was sooo sweet – accepted guys , me one happy puppy.
    Four blocks for , well I won't say it's almost embarrassing .

    John , John , John , not even going there mate but are you for real. As many others here would know many many times over, the problem isn't finding opportunities it's narrowing choices down and choosing , that's the beauty of real estate. You of all people actually dealing in the stuff should know that better than anyone.
    Hell I've spent 1/2 the year chasing my tale with so many opportunities trying to make up my mind.

    Cheers

    Profile photo of coalstarcoalstar
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    Mister wrote:
    I chuckled after posting this question though,  I must have been the only person in the country offering anything on anything last week of all weeks .

    Cheers

    your not alone, trust me!
    if your a true PI, you would be doing your best to buy at least a couple of IP before the years end, obviously 15% below the asking price.

    Profile photo of MisterMister
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    alani wrote:
    Mister wrote:
    I chuckled after posting this question though, I must have been the only person in the country offering anything on anything last week of all weeks .

    Cheers

    your not alone, trust me! if your a true PI, you would be doing your best to buy at least a couple of IP before the years end, obviously 15% below the asking price.

    You think so alani , thanks for that .
    I'm not a true PI yet but I am working on it very hard . Self doubts been creeping in and out on me though this year with the wild times going on . You sound pretty confident though , very encouraging .

    Cheers

    Profile photo of Tony BTony B
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    Mister & others
    I totally agree with John re. discounts on listed prices. I may add I found out the hard way.  Two offers I made on property I really liked, both cash & unconditional but with a 15% off listed price got sold for listed price. I now start again to look for another , may take 3 or 4 months to find a suitable investment.

    I also was under the opinion vendors would consider offers discounted by 20% or 30% but in most cases they will not. Agents want to sell the place so they try to advise the vendor realistic prices, in most cases anyway.

    Mister, from my expiriance think about this, you find a good place which has the potential to make you some money, a safe bet in a good location. You then play hard ball with a low offer, and keep in mind a vendor dose not have to make you a counter offer, then I come along and like the place also and offer a few K under list price, its now sold.

    When making an offer IMPO one should do it in writting on a contract note of contract.  If you want to discount use your terms as best you can, 30 days or less, cash no finance, 10 or 20 % deposit in 24 hours after the vendor signs. Offer to expire in 2 or 3 days. Most vendors dont like to be pushed, they may talk it over with family etc. I give 2 full days for my offer to expire. If you dont put this you may find as you have that the agent will wait for more offers to come in.  But be realistic in you offer unless you are happy to walk away.

    Also please consider, if the vendor is so keen to drop the price Why?     Are all the properties in the area over priced and now falling and will they continue after I purchase?    You may get a cheap place but  if its a bargain you only find out latter. You also may have to discount the price when you go to sell  in the future.  If you make a low offer most  agents will say they will give your offer to the vendor over the phone, most likly they will tell you the vendor said no. The vendor may not even get the offer because its too low and the agent does not want the embarisment. Get your offer in writing so they have to take it to the vendor. By the way dont contact the vendor direct even if the agent is taking too long. Work with them not againt them, even if you have to push & hassle the sh*t out of the agent, its best.  Let us know how your offer turned out.

    Best of luck with you offer

    T………..

    Profile photo of MisterMister
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    Tony B wrote:
    Mister & others
    I totally agree with John re. discounts on listed prices. I may add I found out the hard way. Two offers I made on property I really liked, both cash & unconditional but with a 15% off listed price got sold for listed price. I now start again to look for another , may take 3 or 4 months to find a suitable investment.

    I also was under the opinion vendors would consider offers discounted by 20% or 30% but in most cases they will not. Agents want to sell the place so they try to advise the vendor realistic prices, in most cases anyway.

    Mister, from my expiriance think about this, you find a good place which has the potential to make you some money, a safe bet in a good location. You then play hard ball with a low offer, and keep in mind a vendor dose not have to make you a counter offer, then I come along and like the place also and offer a few K under list price, its now sold.

    When making an offer IMPO one should do it in writting on a contract note of contract. If you want to discount use your terms as best you can, 30 days or less, cash no finance, 10 or 20 % deposit in 24 hours after the vendor signs. Offer to expire in 2 or 3 days. Most vendors dont like to be pushed, they may talk it over with family etc. I give 2 full days for my offer to expire. If you dont put this you may find as you have that the agent will wait for more offers to come in. But be realistic in you offer unless you are happy to walk away.

    Also please consider, if the vendor is so keen to drop the price Why? Are all the properties in the area over priced and now falling and will they continue after I purchase? You may get a cheap place but if its a bargain you only find out latter. You also may have to discount the price when you go to sell in the future. If you make a low offer most agents will say they will give your offer to the vendor over the phone, most likly they will tell you the vendor said no. The vendor may not even get the offer because its too low and the agent does not want the embarisment. Get your offer in writing so they have to take it to the vendor. By the way dont contact the vendor direct even if the agent is taking too long. Work with them not againt them, even if you have to push & hassle the sh*t out of the agent, its best. Let us know how your offer turned out.

    Best of luck with you offer

    T………..

    Thanks Tony.
    Mate my offer was accepted so I'm very pleased , you must have missed it above .Good advice though thanks for that .
    I think if your gonne buy now you have to be cheeky . The only way I'd buy anything right now was if I am very happy with the price and the property and price have the leeway and versatility to cover any down turn in a few ways as backup .
    The old nobody else wants it scenario really has allot to be said for it too , every place I've done has been one of those . Gotten great deals and heaps of leeway in profit margin if the reason they don't want it is the right one .
    Normal people don't think like an investor , it seems the most petty things can turn them off and make them suspicious  . I'm a firm believer in riding that one all the way to the bank .
    You sound like your having trouble finding good buys , spose it depends on where you are but I am finding you do have to dig around allot because you need special stuff right now , but once they start turning up it tends to snowball and before long they're coming out of the woodwork everywhere .
    If your having trouble , what I did was made up my mind – right get of my ass and find something.
    This made me actually focus as compared to dilly dallying 1/2 heartedly . I was amazed at the difference , before long they were turning up everywhere . Where as before I later realized I was hanging up the gloves too early , right about when the fruits of my labor were due to start paying off . Big lesson for me this year that one.
    I made my offer cash and offered a quick settlement if they preferred but left them with the option to take longer if they wanted .
    I think right now is a great time for offers, everyones scared , Christmas is coming , people like to tie up loose ends by Christmas , also wanting to offload anything they don't need before the worlds shit hits the fan , gotta be sure of your buy though I think .
    There's one guy here just got an offer through at 40% off – great place too and plenty of leeway . It took them 3 mths and one action but they eventually accepted .

    Cheers

    Profile photo of Tony BTony B
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    Mister
    Great stuff Im glad you got a good deal. I agree you do have to work to find a bargan and some people dont like to do the hard yards. Mate, I noticed a lot of talk on this site about now being a time of uncertainty and people hanging off buying, the worlds shit about to hit the fan etc.  so it could be agood time to make an offer. Is this true? Good point re. christmas, never thourght of it like that. Man, Ive done the hard yards even put up poster wanting to buy privatly driven round and even door knoked to find out who owns the place next door. I may be expecting to much of a bargain but I beleive what you said you need to get it cheap now as we dont know what will happen in the near future, need that profit buffer. I beleive you make your money on property when you buy it not when you sell it.  Im also concerned about rate drops it may start a buying spree again, share prices dropping and people starting to look for a safer place for supper. Dont know your oppinion on these points.

    I can be a tight ass and like to point out the negatives to the agent and vendor but only to out smart myself when some one elles whats the property more than me. However, the next few months may see a differance. I hope a bargain comes my way soon. By the way what state did you buy in?

    Cheers
    T…………..

    Profile photo of MisterMister
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    Tony B wrote:
    Mister
    Great stuff Im glad you got a good deal. I agree you do have to work to find a bargan and some people dont like to do the hard yards. Mate, I noticed a lot of talk on this site about now being a time of uncertainty and people hanging off buying, the worlds shit about to hit the fan etc. so it could be agood time to make an offer. Is this true? Good point re. christmas, never thourght of it like that. Man, Ive done the hard yards even put up poster wanting to buy privatly driven round and even door knoked to find out who owns the place next door. I may be expecting to much of a bargain but I beleive what you said you need to get it cheap now as we dont know what will happen in the near future, need that profit buffer. I beleive you make your money on property when you buy it not when you sell it. Im also concerned about rate drops it may start a buying spree again, share prices dropping and people starting to look for a safer place for supper. Dont know your oppinion on these points.

    I can be a tight ass and like to point out the negatives to the agent and vendor but only to out smart myself when some one elles whats the property more than me. However, the next few months may see a differance. I hope a bargain comes my way soon. By the way what state did you buy in?

    Cheers
    T…………..

    G'day Tony

    Ahh tight ass is good mate , notice most money people are very thoughtful with their money .
    I'm hoping the interest rate drop and more on the way might actually create a bit of a quick spike in property now.
    I'm in Vic , Great Ocean Road and bought in Vic but actually I better not say where for different reasons yet as it's a bit soon but
    I don't like interstate stuff or being away myself, expensive too and knowing your area / state really has a lot to be said for it .

    Nothing wrong with the old drive rounds and poking about Tony , lots of people do that – I'm a terror for it . Snuck in on an absolute ripper one off deal like that 3 yrs ago and have dug up all sorts of goodies .
    Nets great for the targets and research, rounding up the properties too I reckon but then if you can get over there and take a good look around in person , get a feel for what's going on , drive the streets , have some lunch .
    Nearly made some big mistakes by it all looking great on the net but then I've gone over and straight away you see forget it .

    Yeah they do say people turn to property when shares dump don't they – not sure on that one . There's some real money people around here though and you can bet they'll be plotting away in one way or another.
    I mean if you've got the guts and the knowledge there's gonna be fantastic share buys coming up but only the pro's will be game the rest will wait until after the fact .
    The property angle , bugared if I know on that one actually . Only buy with the best inbuilt buffers and price we can manage is my strategy or else wait 12-18 mths .

    Cheers

    Profile photo of Tony BTony B
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    Mister
    Great Ocian Rd. nice spot I felt it was only for the rich and then over priced. But Im sure there are some pockets along it that are still good buying. I will continue the search and know if you work hard & do your home work it must pay off.
    I will let you know when I hit gold.
    Cheers
    T…………………

    Profile photo of MisterMister
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    Yeah plenty of both all the way along the Great Ocean but I'm not in that bracket – one day hopefully .
    Abit iffy with all going on eh Tony , scary times alright . I think if you buy right and only stuff  that you can add too by a reno , duplex , corner block and a flat at rear , divide or in someway, that will also rent well if stuck , you can do the sums and work out the leeway you have .
    100% and allot more properties are quite fee sable , I've done two like that so far , found dozens . So if things dump 50% your still covered especially if it all rent well .

    good luck
    cheers

    Profile photo of fishngymfishngym
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    The longest it has taken me to get a response was 5-6 weeks on the initial bid. It was unbelievable. We hoped to have had it finalised on the first day.  Well worth the wait though. Sometimes you have to be patient. Best of luck with the purchase.

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