Instructions on Making An Offer for a Bank-Owned Property

ALL offers must include:

1. Please read the "Confidential Remarks" on the MLS: Many key details will be included that may affect your offer or be required for the seller to respond.

2. Please use CAR Form RPA to write offers unless indicated otherwise on MLS.

3. Cover Letter :   Include a cover letter summarizing your offer, some items to include are:

   • Occupancy: Indicate if your buyer intends to occupy the property

   • Contingencies: loan, appraisal, and inspection times

   • Close of Escrow: Anticipated closing date

4. Financing : Pre-Approval letter and/or Verification of Funds (VOF) is required for all submitted offers.

5. Earnest Money Deposit : Please include a copy of the Earnest Money Deposit with your offer. No promissory notes will be accepted.

6. Agency Disclosure : Include the mandatory Agency Disclosure Form (CAR Form AD) indicating your relationship with buyer.

7. Occupancy : Please indicate on your offer cover letter if your buyer intends to occupy the property

8. Seller's Addendums : Although it is not necessary to sign at this time, if there are any Seller's Addendums please indicate that your buyer has read and accepted the terms of the Addendum on the purchase agreement. 

9. Expiration Date : Please allow time for the bank to respond on your Purchase Agreement expiration date. Many times we are dealing with East Coast Asset Managers and banks, and there are several decision makers. Please extend expiration out one week if possible, but no less than 72 hours, so that the offer will not expire and need to be revised. 

10. Send all offers via email ( info@ebestates.com ) or fax (925-465-8162) . Offers are presented as they are received.

Preferred Title Company/ Closing Agent

1. All properties will have a Pre-Escrow opened. The preferred escrow agent information is below.

2. Although it is optional , and always the Buyer's choice , please use the Seller's preferred closing agent. This will facilitate the process as the closing agent already has the required documents from the bank.

Inspections

In most cases, the Buyer is responsible for their own due diligence . Remember, these properties are being sold in "as is" condition. Pre-offer inspections are strongly encouraged. All sales are “as-is” and Seller will not make any repairs (inspections are for buyer’s information only).  If there are any existing inspections/reports for a particular property it will be provided as a courtesy only.

Commission Details

There will be no selling office commission paid if the buyer is also the agent ( take into account when making offer ). Commission will only be paid on the sales price LESS any concessions made by the seller (Example: If sale price $400,000 with seller crediting $5,000 towards buyer’s closing costs, commission will be based on $395,000).

Additional Information

1. Closing Dates : NO automatic extensions. Penalties (typically $50-$100 per day) will be assessed for ANY extensions other than those caused by seller’s title problems (buyer’s loan delay will trigger a penalty).

2. Offer Contingent on Sale of Buyer's Home : Some banks do NOT allow this. Please confirm.

Seller's Response Time

Some clients are handling thousands of properties so responses may take several days. We will confirm your offer was received and do everything we can to keep you informed.   Email is the best way to reach us for quick updates or questions . WE WILL CONTACT YOU AS SOON AS WE HAVE A RESPONSE.

After the Seller Responds

1. The seller will typically respond verbally, by fax, or email. They may email additional “as-is” addenda and we will send these to you as soon as we receive them. Once buyer and seller agree to terms, typically we will then need all originals delivered to our office.

2. Once you deliver the complete original contract and supporting documentation to our office the Seller will not negotiate any other offers . It may take up to 2 weeks to receive the signed contract back from the Seller so please be patient .

3. Our Signs and Lockboxes : We will remove all signs and lockboxes typically within 7 days of the closing date. Please do not remove them yourself! If we do not receive them after closing, we will expect you, the agent , to reimburse us for the cost of these items. Keys may not be removed from the box until recording and funding are complete.