The best offer for a bank would be a cash offer, As-Is, no inspection contingencies, close quickly, high down payment.  Basically, the stronger the offer is to them with less chance of the buyer to get out due to financing, inspections or other contingencies, the better.

If you are not making a cash offer (and this means YOUR cash, not a loan, not hard money, etc. YOUR cash in the bank now), you must be competitive with price and terms.  Foreclosures in Miami are selling for approximately 5% OVER list price right now, so be prepared to make your offer competitive.  Other things you can do to make your offer strong would be to limit or eliminate the inspection contingencies (ie buy it As-Is, no “get out clause”), close quickly (10 days?), and/or offer a strong good faith deposit (this shows you are serious).

Due to the highly competitive nature of buying foreclosures in Miami, we recommend to all of our buyers to make their Highest and Best Offer their FIRST offer.  If it seems like a good deal to you, it is going to seem like a good deal to ten other buyers, so don’t wait, make your best offer.

If you are in the market to buy a foreclosure in Miami, call us today! 786-252-4970!

There are currently 937 bank-owned (REO) single family homes in Miami-Dade. Based on the information that 2,069 homes sold this year so far, that tells us that there is roughly a 3 month supply of REOs on the market (meaning in 3 months, they would all be sold).

The homes on the market range from $10,000 to $5,700,000, but the average is $170,000
This year, the 2,069 homes that sold were priced from $6,000 to $3,300,000. The average sale price as $142,000.

The homes that sold this year sold after an average of 51 days on the market (DOM) and sold for 106% of asking price. Last year, homes sold after an average 77 DOM and 101% of list price, so you can see they are selling faster and for at a higher ratio than last year. This is due in part to the lower number of bank-owned homes in Miami on the market.

If you find a foreclosed home and are ready to make an offer, do it quickly and do it for the “highest and best” you are willing to pay. Since the bank is often dealing with multiple offers, they will likely not come back to you with a counter, but accept the “highest and best”. Here is some information on how to best position yourself for buying a home in Miami.