Want to buy a short sale?
Can I get a good deal on a short sale?
Sometimes. Often times people hear the term "short sale" and instinctively think of a seller that is in default and must sell their house fast to avoid further financial problems. This is at times the case and can be an opportunity for a buyer to take advantage of another's misfortune. In contrast, a lender may consider a short sale even if the seller is current with their mortgage, but property values have declined. In these cases the discounted price may in fact be closer to actual market values instead of below.
What's involved in buying a short sale?
- Before you make any purchase offers, do your homework. Using an experienced real estate agent from RE/MAX Bay to Bay to assist you with researching a property can help you make informed decisions. We can help reveal to whom the property is titled, how much is owed to the lender, and whether or not a foreclosure notice has been filed. Finding these facts can help you decide how much to offer.
Use a real estate professional with short sale expertise. RE/MAX Bay to Bay can assist you in expediting the transaction and make certain you're protected. Don't permit inexperience to impede the closing process. Put my experience and knowledge to work in your favor.
- Even with an experienced real estate agent and under the best of situations, buying a short sale property will probably take longer than a typical real estate transaction. Be informed that a majority of short sales will not close in 30 days or less. Remember that you're not only having to get approval from the seller, but the lender must also agree to the sale terms. A lot of the time your offer will be presented to a committee to approve, which will add time - sometimes even 2 to 3 months.
- Home protection warranties, buyer credits and allowances, and closing cost concessions are usually non-negotiable when working with a short sale. The lender will sell the property "as is" which means the lender won't be paying for repairs. Be sure you reserve the right to have the property inspected for pests, HVAC, electrical, and other critical areas. At RE/MAX Bay to Bay, when I write an offer, I am looking out for your interests first and foremost and will always advise you to make your offer contingent upon the inspection results.