Short Sales are going to be with us for a while, a long while…especially on higher end condos in Uptown and surrounding area where developers over developed and builders over built the same thing. Nuff – said. Basically a short sale is when the lender will take less for a property then is actually owed. These properties are all over the MLS and you might not know it’s a short sale until you make an offer or after you made an offer. Depends on the seller and the agent. The number one thing to look for in a short sale is if the price has been approved by the bank. In many instances listing agents have a new tactic of offering the property for way below market value in order to get multiple offers and bid the property up. If the bank has not approved the price than you are in for a long wait, most probably 6 months. If the bank has approved the price you’re chances of actaully buying the property is greatly improved. Remember, in a short sale the seller still decides who gets the property because they legally still own it but the lender has to approve the amount. More complicated but that’s the way it is and you’re better off knowing that going in.
Number 1 Thing You Must Do Before You Make A Short Sale Offer
August 21st, 2009 · 2 Comments
Tags: Buying Homes · Real Estate Advice
2 responses so far ↓
1 Dean Rinker // Aug 24, 2009 at 9:04 pm
Great post. Another key is to work with a listing agent who has experience doing short sales and who knows how to work with banks. All too aften rookie agents “try” to do short sales and fail miserably.
2 Terry Smith // Aug 27, 2009 at 10:41 am
Dean – you are so right about finding the right agent that specializes in short sales. I can tell from the MLS listing if they know what their doing and also a phone call to see if the house qualifies to be bought in the near future.
Roger – You are so right. Short sales are a complicated process and most importantly a client should be advised by a real estate attorney that specializes in short sales. A real estate agent should not advise them what to do just becasue they know how to do it, especially when they have a vested interest to make money from the sale. Thanks for commenting.
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