Looking to make a deal on a short sale?
Can I get a good deal on a short sale?
Every now and then a good deal will come along. Most people hear the phrase "short sale" and automatically think of a seller that is in trouble and needs to sell their property fast to avoid further financial problems. This is at times the case and can be an opportunity for a buyer to cash in on 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 cases such as these the discounted price may in fact be consistent with actual market values rather than below.
What's involved in buying a short sale?
- Always do your research before making any offers. Using an experienced real estate professional from RE/MAX Bay to Bay to assist you with researching a property can help you make knowledgeable decisions. We can help discover to whom the property is titled, how much is owed to the lender, and whether or not a foreclosure notice has been filed. Locating this information can help you make a decision about how much to offer.
Get a real estate professional with short sale expertise. RE/MAX Bay to Bay can aid you in expediting the transaction and make sure you're protected. Don't let inexperience hold up the closing process. Let my experience and knowledge work for you.
- 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 aware that most 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 sale terms. In most cases your offer will be seen by 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 typically not up for negotiation when buying a short sale. The lender will be selling the property "as is" which means the lender will not be paying for repairs. Make sure to reserve the right to perform inspections 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 first and will always advise you to make your offer contingent upon the results of the inspections.