Looking to buy a short sale?
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A short sale means the homeowner's lender agrees to get a reduced payoff to release a mortgage. | ||
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Are short sales good deals?
Sometimes. Many people hear the term "short sale" and routinely think of a seller that is insolvent and needing to sell their house promptly to prevent further financial problems. This is at times the case and can be an opportunity for a buyer to do well from 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 these cases the reduced price may in fact be in line with true market values rather than below.Are you ready to buy a short sale property?
- Always do your homework before making any offers. Using TEAM SOLKIN to support your research of a property can 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. Finding this data can help you make a decision about how much to offer.
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Use a real estate agent with short sale experience. TEAM SOLKIN can help expedite the transaction and make sure you're protected. Don't let inexperience slow down the closing process. Put our knowledge and experience to work for you.
- Even in the best of situations and with TEAM SOLKIN, buying a short sale property will probably take longer than a typical real estate transaction. Know that many 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 terms of the sale. A lot of the time your offer will be presented to a committee to approve or disapprove which will add time - sometimes this can take as long as 90 to 120 days.
- Home protection plans, buyer credits and allowances, and closing cost concessions are normally not negotiable when dealing with 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 perform inspections for pests, HVAC, electrical, and other critical areas. At team solkin, when we write an offer, we will be looking out for your interests first and will always advise you to make your offer contingent upon the results of the inspections.
When you're ready to buy, whether it's a short sale or a typical home sale, Team Solkin is available for you. Apply our experience and knowledge of real estate to be certain you are getting a fair deal and protect yourself during the full transaction.