OfflineI found a great deal on a house a REO, I went into the Realtors office to make an offer, The realtor was surprised that I only was willing to put down $50 earnest money. Now he says he needs a verification of funds from my bank or from an investor to prove I can buy this house. What can I do? I def dont have that much cash in my account, and I dont have a buyer yet. The home is such a great deal it wud probably rent for 3-4 hundred dollars above the mortgage, even in this economy, the price of the homes are dropping but not the rents. I estimate the house needs a few hundred dollars in paint and clean up. Rando
__________________
Rando
go to www.coastal-funding.com then click the proof of funds link on the left side. Put in your name, the property address and the amount you want to offer. It will give you a proof of funds letter. There's no obligation. Just print it out and give it to the agent. Also It's usually better to offer a little more than $50. They think your a little more serious. If they accept that, then that's great. But in most cases I've seen most people want $1000 or $2000. What you can do is, when you put in your offer. Get a 10 or 15 day inspection period. In the offer state that you will put the escrow deposit down when the inspection period is up. They can't do anything with it until then anyways. That gives you time to find a buyer. I've never put up earnest money.
Hello:
Take a good look at Coastals website. They won't deal with you unless you have a end buyer who is qualified to buy from you already lined up and ready and willing to undertake a double closing.
Other risks you run are that the realtor may accept it but what happens when the bank does a check with Coastal?
I am not saying this won't work, but just look at all angles.
Hi Randoski: You probably already know this, but your EM check doesn't get deposited until your contract is ratified.
Thiatt07: That's a grrrrreat piece of information to know. Thanks for the heads-up on that!
Coastal website is what dean recommends in his book
GIA