Ready to buy a short sale?
Are short sales bargains?
Occasionally. Most people hear the phrase "short sale" and automatically think of a seller that is in default and must sell their property quickly to avoid further financial problems. This is occasionally the case and can be an opportunity for a buyer to do well from another's misfortune. In contrast, a lender may consider a short sale even if the seller isn't delinquent with their payments, but property values have fallen. In these cases the discounted price may in fact be closer to actual market values instead of below.
Are you ready to buy a short sale property?
- Before making any purchase offers, do your homework. Using an experienced real estate professional from Future Home Realty to help you research a property will help you make knowledgeable decisions. We can help discover to whom the property is titled, the balance still owed to the lender, and whether or not a foreclosure notice has been filed. Getting these facts can help you make a decision about how much to offer.
Use an agent with short sale expertise. Future Home Realty can help expedite the transaction and ensure that you're protected. Don't allow inexperience to hinder the closing process. Let my experience and knowledge work for you.
- Even with an experienced real estate agent and under the best circumstances, buying a short sale property will generally take longer than a typical real estate transaction. Know that many short sales will not close in less than 30 days. Remember that you're not only getting approval from the seller, but the lender must also agree to the terms of the sale. It's not uncommon that your offer will go before a committee for approval, which will add time - sometimes even 2 to 3 months.
- Home warranties, buyer credits and allowances, and closing cost concessions are generally not negotiable when working with a short sale. The lender will be selling the property "as is" which means the lender won't be paying for repairs. Be sure you reserve the right to perform inspections for pests, HVAC, electrical, and other critical areas. At Future Home Realty, when I write an offer, I'm looking out for your interests first and will always recommend that you make your offer contingent upon the outcome of the inspections.