Unsolicited home purchase inquiry

Toggle sidebar Toggle sidebar
pete6032

pete6032

Diamond Member
Dec 3, 2010
8,192
3,612
136
Yesterday I received a letter from a local real estate agent who has a client looking to purchase a home in my neighborhood. The letter was very specific with what the client was looking for, even mentioning a desire to be close to some mom-and-pop restaurants that are within a few blocks of me. I looked the agent up and it is a legitimate agent. I've been thinking about moving and I was wondering if I sold my place without listing it would I be able to avoid paying half of the seller fee that typically goes to the selling agent? As I understand it, the transaction fee is usually 5-6% and that is split between buying and selling agent.
 
MrSquished

MrSquished

Lifer
Jan 14, 2013
26,067
24,397
136
pete6032 said:
Yesterday I received a letter from a local real estate agent who has a client looking to purchase a home in my neighborhood. The letter was very specific with what the client was looking for, even mentioning a desire to be close to some mom-and-pop restaurants that are within a few blocks of me. I looked the agent up and it is a legitimate agent. I've been thinking about moving and I was wondering if I sold my place without listing it would I be able to avoid paying half of the seller fee that typically goes to the selling agent? As I understand it, the transaction fee is usually 5-6% and that is split between buying and selling agent.
Click to expand...

Yes if you sell directly to the buyer's agent's client you can just pay out the typical 2-2.5% only that they would normally get.

But just really be sure what you are getting is the right value. Off market deals can be great with the right buyer at the right time and place, but often going on the market can get you more, sometimes a lot more.
 
K1052

K1052

Elite Member
Aug 21, 2003
53,091
47,225
136
MrSquished said:
But just really be sure what you are getting is the right value. Off market deals can be great with the right buyer at the right time and place, but often going on the market can get you more, sometimes a lot more.
Click to expand...

This. I've gotten a couple unsolicited offers but below market value.
 
nakedfrog

nakedfrog

No Lifer
Apr 3, 2001
63,061
19,367
136
MrSquished said:
Yes if you sell directly to the buyer's agent's client you can just pay out the typical 2-2.5% only that they would normally get.

But just really be sure what you are getting is the right value. Off market deals can be great with the right buyer at the right time and place, but often going on the market can get you more, sometimes a lot more.
Click to expand...
Especially the way the market has been these last couple years...
 
MtnMan

MtnMan

Diamond Member
Jul 27, 2004
9,435
8,839
136
I own two homes. I get offers via mail, phone calls, text messages every week or so offering immediate cash on the second house.

I suspect they comb through property records, and if the mailing address is different from the address of the property, they assume I want to sell it.
 
pete6032

pete6032

Diamond Member
Dec 3, 2010
8,192
3,612
136
The building I live in has had multiple sales in the last few years so I have a pretty go idea of what market value is. The units that sold are mostly same size/configuration to mine.
 
Thump553

Thump553

Lifer
Jun 2, 2000
12,839
2,625
136
pete6032 said:
The building I live in has had multiple sales in the last few years so I have a pretty go idea of what market value is. The units that sold are mostly same size/configuration to mine.
Click to expand...

A sale two years is not the current value. Spend a few bucks (I'm guessing $50 or so) and get a market analysis done by a broker of YOUR choice before negotiating anything. Don't mention the real reason you want the analysis.
 
Red Squirrel

Red Squirrel

No Lifer
May 24, 2003
70,742
13,855
126
www.anyf.ca
My parents have had this happen a few times. They live in a rather desirable area and have a big yard. What's crazy is the house cost around 80k to build if I recall and now they could probably sell for like over 300k now. But they have no real reason to sell.

To me if someone comes to you then it means they really want it, so if you do sell, up the price by quite a lot.
 
sdifox

sdifox

No Lifer
Sep 30, 2005
100,692
18,028
126
Current market you are beter off to list and setup a date for blind bids.
 
nakedfrog

nakedfrog

No Lifer
Apr 3, 2001
63,061
19,367
136
dlerious said:
This is how crazy the home market is in some parts of the country.
www.cnn.com

A housing market so hot that a burned-out home listed for $400,000

The housing market has recently cooled from white hot to merely red hot. But it's still a great time to get top dollar on a home, even one that needs a little work. Or one that is a charred shell of a house.
www.cnn.com www.cnn.com
Click to expand...
You think that's crazy, this place in Boise, ID just sold for $400k too!

I mean, yeah, it's not a burned-out husk, but it's in fucking Boise, ID.
It was listed at $116k six years ago.
 
ponyo

ponyo

Lifer
Feb 14, 2002
19,688
2,811
126
G

Greenman

Lifer
Oct 15, 1999
22,351
6,493
136
pete6032 said:
Yesterday I received a letter from a local real estate agent who has a client looking to purchase a home in my neighborhood. The letter was very specific with what the client was looking for, even mentioning a desire to be close to some mom-and-pop restaurants that are within a few blocks of me. I looked the agent up and it is a legitimate agent. I've been thinking about moving and I was wondering if I sold my place without listing it would I be able to avoid paying half of the seller fee that typically goes to the selling agent? As I understand it, the transaction fee is usually 5-6% and that is split between buying and selling agent.
Click to expand...
The situation isn't unheard of. A buddy of mine is in real estate, a client wanted a home in a particular area and none were listed. He started knocking on doors until he found someone willing to sell.
 
Red Squirrel

Red Squirrel

No Lifer
May 24, 2003
70,742
13,855
126
www.anyf.ca
Even bare land is crazy, like when I bought my off grid property it was getting very hard to find anything like that and I lucked out by catching that one within the hour of it being listed. 40 acres for 44k. Now I see the oddball similar property pop up but it's rare, and they're all selling for well over 100k. I'm glad I didn't wait to buy. Even if I don't end up developing it as fast as I hope at least I have it now. By the time I do have it developed to the point that I could live there year round I'll probably be able to sell the house for well over 200k. Paid 165k for it. Would not be surprised I could sell it for 250k now.
 
Scarpozzi

Scarpozzi

Lifer
Jun 13, 2000
26,392
1,780
126
Greenman said:
The situation isn't unheard of. A buddy of mine is in real estate, a client wanted a home in a particular area and none were listed. He started knocking on doors until he found someone willing to sell.
Click to expand...
Wasn't this an episode of the Andy Griffith Show?
 
sdifox

sdifox

No Lifer
Sep 30, 2005
100,692
18,028
126
JEDIYoda said:
How would a blind person have any idea what the house looked like???
Click to expand...
Blind bidding means you set a date and interested parties put in their offer and seller decides which offer to go with.

Blind people can bid too duh.
 
rh71

rh71

No Lifer
Aug 28, 2001
52,844
1,049
126
My next door neighbor has a 950 sqft ranch-style house. He's one of the few on the block who hasn't built up yet - he has grown kids so he doesn't need it. Because of the reputable school district, he often receives offers of over $600k from contractors who want to buy and flip his house which usually sell close to $1M. He's holding out for $700k.

sdifox said:
Current market you are beter off to list and setup a date for blind bids.
Click to expand...

Yes but compare that to the ~3% in seller commission they may be saving too.

ie. $400k home @ 3% commission = $12k. Would they get AT LEAST $12k more by putting it on the open market (and having to do all the de-cluttering/staging, etc.) plus additional profit for doing so. Is it worth the time too?
 
Last edited:
MrSquished

MrSquished

Lifer
Jan 14, 2013
26,067
24,397
136
rh71 said:
My next door neighbor has a 950 sqft ranch-style house. He's one of the few on the block who hasn't built up yet - he has grown kids so he doesn't need it. Because of the reputable school district, he often receives offers of over $600k from contractors who want to buy and flip his house which usually sell close to $1M. He's holding out for $700k.



Yes but compare that to the ~3% in seller commission they may be saving too.

ie. $400k home @ 3% commission = $12k. Would they get AT LEAST $12k more by putting it on the open market (and having to do all the de-cluttering/staging, etc.) plus additional profit for doing so. Is it worth the time too?
Click to expand...

It depends on the market where they are located, but in general right now in general this market is very hot. Tried to do an off market deal on a condo priced at 400K. It went on the market, had a bidding war of 8 bids, went for $450K with the appraisal and home inspection waived. Bidding wars are happening left and right these days.
 
sdifox

sdifox

No Lifer
Sep 30, 2005
100,692
18,028
126
rh71 said:
My next door neighbor has a 950 sqft ranch-style house. He's one of the few on the block who hasn't built up yet - he has grown kids so he doesn't need it. Because of the reputable school district, he often receives offers of over $600k from contractors who want to buy and flip his house which usually sell close to $1M. He's holding out for $700k.



Yes but compare that to the ~3% in seller commission they may be saving too.

ie. $400k home @ 3% commission = $12k. Would they get AT LEAST $12k more by putting it on the open market (and having to do all the de-cluttering/staging, etc.) plus additional profit for doing so. Is it worth the time too?
Click to expand...


Yeah market is that crazy. People are buying without conditions. Hell some people have a sales pitch prepared to convince the seller they deserve to buy that house...
 
MrSquished

MrSquished

Lifer
Jan 14, 2013
26,067
24,397
136
sdifox said:
Yeah market is that crazy. People are buying without conditions. Hell some people have a sales pitch prepared to convince the seller they deserve to buy that house...
Click to expand...

yeah in plenty of markets people are just waiving home inspections, on fully detached homes no less. My client bought a condo, and lived in the building already so knew about the general issues the units had and so was comfortable waiving home inspection. At least in a condo the association is responsible for a lot of the problems, in a fully detached home a million more things can go wrong.

And we waived the appraisal contingency too. We actually beat an offer that was $15K more because they wouldn't give enough concessions on either of those fronts. The seller wanted to go with the extra money but the agents said ours was stronger. I think the appraisal will come in at over the asking price but not quite as high as the selling price. I think that's what sealed the deal.
 
Zorba

Zorba

Lifer
Oct 22, 1999
15,613
11,256
136
MrSquished said:
Yes if you sell directly to the buyer's agent's client you can just pay out the typical 2-2.5% only that they would normally get.

But just really be sure what you are getting is the right value. Off market deals can be great with the right buyer at the right time and place, but often going on the market can get you more, sometimes a lot more.
Click to expand...
Yeah, I'd want the house appraised and then add a little bit to that since it was their idea for you to sell your house.

I also wouldn't assume the buyer's agent would waive the seller's fee, I'd make sure that was stated up front.
 
You must log in or register to reply here.

TRENDING THREADS

COMPANY
RESOURCES
FOLLOW
Top Bottom