Looking to buy a short sale?
Can I get a good deal on a short sale?
Occasionally. Often times people hear the phrase "short sale" and automatically think of a seller that is in trouble and needs to sell their property quickly to avoid further financial problems. This is occasionally the case and can be an opportunity for a buyer to make the most of another's misfortune. Alternatively, a lender may consider a short sale even if the seller isn't delinquent with their payments, but property values have declined. In cases such as these the discounted price may in fact be consistent with actual market values instead of below.
How do I buy a short sale?
- Before making any purchase offers, do your homework. Using a knowledgeable REALTOR® from RE/MAX Bay to Bay to help you research a property will help you make informed decisions. We can help learn to whom the property is titled, how much is owed to the lender, and whether or not a foreclosure notice has been filed. Locating these facts can help you determine how much to offer.
Use a real estate professional with short sale expertise. RE/MAX Bay to Bay can aid you in expediting the transaction and ensure that you're protected. Don't allow inexperience to hold up the closing process. Put my experience and knowledge to work in your favor.
- Even in the best of situations and with an experienced real estate agent, buying a short sale property will probably take longer than a typical real estate transaction. Be informed that many short sales will not close in 30 days or less. Remember that you're not only getting approval from the seller, but the lender must also agree to the discounted price. In most cases your offer will be sent to a committee to approve or disapprove, which will add time - sometimes even 2 to 3 months.
- Home protection plans, buyer credits and allowances, and closing cost concessions are normally non-negotiable when buying a short sale. The lender will be selling the property "as is" which means the lender won't be paying for repairs. Make 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'm looking out for your interests above all else and will always suggest that you make your offer contingent upon the inspection results.