Looking to purchase a short sale?
Are short sales good deals?
The short answer is "sometimes". Many people hear the phrase "short sale" and instinctively think of a seller that is in default and needs to sell their home quickly to avert further financial problems. This is at times the case and can be an opportunity for a buyer to make the most of another's misfortune. On the other hand, a lender may consider a short sale even if the seller is current, but property values have depreciated. In these instances the discounted price may in fact be in line with true market values rather than below.
What's involved in buying a short sale?
- Always do your homework before making any offers. Using an experienced real estate professional from Lake Country Real Estate, Inc. to assist you with researching a property will help you make educated decisions. We can help discover 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 decide how much to offer.
Use a real estate agent with short sale expertise. Lake Country Real Estate, Inc. can assist you in expediting the transaction and make certain you're protected. Don't allow inexperience to delay 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 aware that a majority of short sales will not close in less than 30 days. Remember that you're not only having to satisfy the seller, but the lender must also agree to the discounted price. Commonly, your offer will be sent to a committee to approve, which will add time - sometimes even 2 to 3 months.
- Home protection plans, buyer credits and allowances, and closing cost concessions are generally non-negotiable when working with a short sale. The lender will be selling the property just the way it 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 Lake Country Real Estate, Inc., when I write an offer, I am looking out for your interests first and will always suggest that you make your offer contingent upon the inspection results.