Not to Be Confused With “Dumpster Diving”

“Dumpster diving” is when bargain hunters look for something salvageable (or edible — blechh!) in a dumpster.

dumpsterSo, what’s “dumpster chasing?”

When bargain hunters target the owner of the home behind the dumpster.

Specifically, “dumpster chasers” solicit homeowners to find out if all that emptying out/updating is in anticipation of going on the market.

If so, they pitch ’em a deal:  a deal that invariably omits a commission.

The Pitch . . . and a Catch (Actually, Two)

The catch?

There are usually two:

One.  The price ain’t so attractive.  In fact, at least in my experience, it’s substantially below what the homeowner could expect to realize, net of commission, if their home were properly marketed and exposed to the entire market.

That’s especially true in a strong Seller’s market with limited inventory.

Two.  Coming up with the money.

Even if the purchase price is attractive, the financing may not be.  Veteran agents know how to qualify both Buyers and their lenders, then make sure any Purchase Agreement contains deadlines and protective language.

Novice home Sellers?

Not so much . . .

See also, “Pre-Approval Letters & Written Statements”; “Written Statements in 300 Words . . . or One“; and “The SECOND Most Important Date in a Home Sale.”

And:  ““Guaranteed’ Pre-Approval Letters“;  “Wizards, Witches & Broomsticks (er, I mean “Pre-Approval Letters”); and “You Mean, There’s No Deal AND They Get Their Earnest Money Back?!?” 

About the author

Ross Kaplan has 19+ years experience selling real estate all over the Twin Cities. He is also a 12-time consecutive "Super Real Estate Agent," as determined by Mpls. - St. Paul Magazine and Twin Cities Business Magazine. Prior to becoming a Realtor, Ross was an attorney (corporate law), CPA, and entrepreneur. He holds an economics degree from Stanford.

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