* Real Estate Articles and Q & A *

Believe me, it is true. As a buyer It feels like we are back in the 2004 and 2005 real estate market again. Where is that recession that CNN and MSN are talking about? In my opinion, Porter Ranch properties are getting even harder and harder to acquire. No, it is not because the economy is bad or the banks are tightening their lending standards. It is the opposite. Because of the lower asking prices of the bank owned foreclosure listings and the lower interest rates, more and more buyers are back in the market to grab the piece of foreclosed real estate pie. I have made close to 17 offers on different bank owned foreclosure properties in Porter Ranch, but I was unsuccessful. Not because I made low ball offers or my credit is bad or I don’t have resonable down payment. It is because there are sometimes 30 to 40 offers on a single bank owned property and there is always someone else who will put down 50% to 80% down payment and offer 15% to 30% higher than what bank is asking for or pay full cash offer without any contingency. I almost bought a house in Porter Ranch last week, but as the luck has it, at the last minute someone else beat me to it by making an offer with all cash and no contingencies. How  I feel? Well, you guessed it. Am I pulling my hair? Wow, you guessed it again….

Now I am sick and tired and disappointed of bank owned foreclosed bidding war and somewhat changed my strategy. Now I took Farrukh’s advice and he is now searching for me the short sale properties or any property that has been sitting in the market for a while. To be exact, here is the search criteria that Farrukh had proposed and I am going for it:

1- Regular sales

2- Look for sellers who have been living in their homes for a long time and have equity in their homes

3- Regular sale properties sitting in the market for more than 90 days

4- Over priced homes

4- Short sale properties sitting at least 90 days in the market

5- If you like a house and it is in escrow, put yourself in a “backup offer” position with the option to cancel if you find something else

I have not given up for bank owned homes for sale, but I have opened up my search criteria to have more options. I am getting more listings from Farrukh in my email and we are viewing more properties in Porter Ranch. I feel I will purchase what I want soon. I will let you know.

Frank Lipton