Want to purchase a short sale?
Are short sales good deals?
From time to time, yes. Many people hear the term "short sale" and instinctively think of a seller that is in trouble and must sell their home fast to prevent further financial problems. This is sometimes the case and can be an opportunity for a buyer to cash in on another's misfortune. On the other hand, a lender may consider a short sale even if the seller isn't delinquent with their payments, but property values have fallen. In these instances the "bargain" price may in fact be in line with true market values instead of below.
Are you ready to buy a short sale property?
- Before making any purchase offers, do your research. Using a knowledgeable real estate agent from Coastal Properties to assist you with researching a property will help you make educated decisions. We can help find out 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 info can help you decide how much to offer.
Hire an agent with short sale knowledge. Coastal Properties can aid you in expediting the transaction and make sure you're protected. Don't let inexperience impede 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 generally take longer than a typical real estate transaction. Be informed that a majority of short sales will not close in less than 30 days. Remember that you're not only having to get approval from the seller, but the lender must also agree to the sale terms. It's not uncommon that your offer will be presented to a committee for approval, which will add time - sometimes even 2 to 3 months.
- Home warranties, buyer credits and allowances, and closing cost concessions are typically non-negotiable when working with a short sale. The lender will be selling the property just the way it is which means the lender isn't going to pay for repairs. Be sure to reserve the right to perform inspections for pests, HVAC, electrical, and other critical areas. At Coastal Properties, when I write an offer, I'm looking out for your interests first and will always suggest that you make your offer contingent upon the outcome of the inspections.