Want to buy a short sale?
Are they good deals?
The short answer is "sometimes". Many people hear the phrase "short sale" and instinctively think of a seller that is in financial trouble and must sell their property quickly to avert further financial problems. This is occasionally the case and can be an opportunity for a buyer to do well from 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 depreciated. In these cases the "bargain" price may in fact be in line with current market values instead of below.
What's involved in buying a short sale?
- Prior to making any purchase offers, do your research. Using a knowledgeable REALTOR® from The City Country Group @ Vanguard Properties DRE# 01380792 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. Getting this data can help you make a decision about how much to offer.
Hire an agent with short sale experience. The City Country Group @ Vanguard Properties DRE# 01380792 can aid you in expediting the transaction and make sure you're protected. Don't allow inexperience to hold up the closing process. Let my experience and knowledge work in your favor.
- Even with an experienced real estate agent and under the best circumstances, buying a short sale property will usually 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 getting approval from the seller, but the lender must also agree to the sale terms. A lot of the time 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 not up for negotiation when working with a short sale. The lender is selling the property as seen which means the lender isn't going to pay for repairs. Always reserve the right to have the property inspected for pests, HVAC, electrical, and other critical areas. At The City Country Group @ Vanguard Properties DRE# 01380792, when I write an offer, I am looking out for your interests first and foremost and will always suggest that you make your offer contingent upon the inspection results.