Formula For A Purchse Offer?
O.k when u finally hunt the the person in charge of the preforeclosure how do u come up with your initial offer? Do you negotiate around the market value, (perhaps after repairs) or the amount in default. ?
any comments and opinions would be well appreciated
You would negotiate your deal with the Seller, agreeing on a price somewhere between the least that they would accept, and the most you are willing to pay.
If you are going to seek a preforeclosure short sale, you must make application to the mortgagee... and the application will include the Contract For Sale between you, and the Seller.
A lot more goes into it... but you are correct in that market value is always kept in plain sight during negotiations.