I offered $7,000 on a bank owned property listed at $10,000. The bank countered with $15,000 – 5K over the listed price. Can they do this?

Asked on June 12, 2009 under Real Estate Law, Ohio

Answers:

B. B., Member, New Jersey Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

They can do this, but it doesn't mean you have to accept.  If the property is listed with a realtor for $10,000, offer that much, because in most states, the bank will either have to sell at that price, or pay the realtor the commission on the $10,000.

It's possible that the bank already has an offer for more than $10,000, and they are "fishing" for an offer that's even better.  It's a business decision, on their part -- and on yours.


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