Fannie mae offers

[David Collins]

I just made 2 offers on a Fannie Mae property (same property different buyers) where the situation was multiple offers. The agent stated that the asset manager accepted an offer and did not do highest and best. Also, stated that they where in the process of countering with another agent. I made the offer the second day the property was on the market. My queston is does Fannie Mae work that quick with offers and even though the offer was in counter would it not still have gone to highest and best offer?

This agent is also one of those that never feels the need to respond to calls or emails. Not only when you are doing offers but to also see if LB's have been put in place for BPO's. When I questioned why the offer did not go to highest and best I immediately received a phone call and of course the answer above was giving. Just sounds fishey and I think my offers where put in file 13. Am I thinking wrong and could this have happened the way this agent said?

[Billie Dalessio]

congrats! happy closing.

[David Collins]

To give an update on this, the Realtor did call me back two days later and asked me to resubmit both offers, I would think that I would not have to resubmit offers if the Realor had already submitted them. Too make a long story short I have just got the accepted offer today, but have yet to receive the addendums. I have never seen an asset manager or Realtor move so slow. Makes no sense to me.

[Cindy Billman, SRES ®, SFR®, CDPE]

With multiple offers, banks do not have to come back at highest and best - they can choose any of the offers submitted and can select one and then go back to that buyer and negotiate. Price will not always guarantee an acceptance nor will a cash offer. When I was an AM and had multiple offers (Which was quite often) I only responded with highest and best if all offers were below the list price by more than 5%. I then decided on which buyer looked the strongest and many times I chose an offer that was 20% down conventional financing over cash and FHA, regardless if the other offers were higher or not. Too many times, cash offers proved futile as the buyer at the last minute would not have enough funds to close unless we reduced the sale price by another $10k (a trick cash buyers love to pull) Also, if the offer was for more than list price threw up red flags - we soon found out that if the higher offer was accepted, come inspection time buyer would want to reduce the sale price $10k-$15k because of "additional" repairs discovered (a trick some agents used to get their buyer accepted). Owner/occupied buyers with substantial down payment is the best way for banks to go.

[Billie Dalessio]

David- yes it can happen. Fannie has preferential treatment to offers from NSP, offers are oftentime lower than typical investor/purchasers. Of course this is assuming that the listing agent is 100% above board.

[Scott Gold]

Listing agent probably has the buyer...ask for proof that your offer was submitted to bank...ha ha...not going to happen.

Good Luck.

[James Malanowski]

1) They can.
2) Not necessarily.

It depends on the asset manager on both counts.