A short sale is when a home sells for less than what the seller owes to their bank. Because the bank has to agree, it can take several months while the lender sifts through the seller's financial documents to see that a short sale is really neccessary and that the price being offered is justified.
Lee Property Sales specializes in short sales and we can answer any questions you may have. Call 561-685-8484 or e-mail me.
Can I get a bargain on a short sale?
The short answer is "sometimes". Most people hear the words "short sale" and automatically think of a seller that is insolvent and must sell their home quickly to avert further financial problems. This is at times the case and can be an opportunity for a buyer to take advantage 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 fallen. In cases such as these the "bargain" price may in fact be consistent with true market values, not below.
What's involved in buying a short sale?
Always do your homework before making any offers. Using a qualified REALTOR® from Lee Property Sales, Inc. to support your research of a property will help you make educated decisions. We can help learn to whom the property is titled, the amount 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.
Use an agent with short sale knowledge. The real estate agents at Lee Property Sales, Inc. can help expedite the transaction and make sure you're protected. Don't permit inexperience to impede the closing process. Put our 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 terms of the sale. Commonly, 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 normally non-negotiable when working with a short sale. The lender is selling the property just the way it is which means the lender won't be paying for repairs. Be sure you reserve the right to have inspections for pests, HVAC, electrical, and other critical areas. At Lee Property Sales, Inc., when we write an offer, we are looking out for your interests first and foremost and will always advise you to make your offer contingent upon the inspection results.
When it's time to buy, whether it's a short sale or a traditional home sale, Lee Property Sales is here to help. Apply our experience and knowledge of real estate to make sure that you are getting a fair deal and will be protected during the full process.
* MOL = More or Less
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