As with any offer, you need to offer what will allow you to make an acceptable profit. Figure the After Repair Value, Holding Costs, Closing Costs, Repairs Required, Your Profit and start from there. I make people made every day and get my offers rejected everyday because I make what the home owner/agent considers "low ball offers". But these low ball offers are what is required for my business to make a profit.
Bottom Line is do not worry about "sounding like a newbie". Make an offer that allows you to make a profit. If they reject it, then move on.
I agree with bgrossnickle. You need to put in an offer that works for the condition of the home and your profit margin. Each state, region, and property are different in terms of Huds acceptable offer percentage. Generally, around here, HUD will accept 87% of list but not always. Also, remeber that if you put in an offer of 87%, someone may put in a higher offer.
I always put in the highest offer that I can live with...90% of the time I do not get the property.
As with any offer, you need to offer what will allow you to make an acceptable profit. Figure the After Repair Value, Holding Costs, Closing Costs, Repairs Required, Your Profit and start from there. I make people made every day and get my offers rejected everyday because I make what the home owner/agent considers "low ball offers". But these low ball offers are what is required for my business to make a profit.
Bottom Line is do not worry about "sounding like a newbie". Make an offer that allows you to make a profit. If they reject it, then move on.
I agree with bgrossnickle. You need to put in an offer that works for the condition of the home and your profit margin. Each state, region, and property are different in terms of Huds acceptable offer percentage. Generally, around here, HUD will accept 87% of list but not always. Also, remeber that if you put in an offer of 87%, someone may put in a higher offer.
I always put in the highest offer that I can live with...90% of the time I do not get the property.