Want to purchase a short sale?

Are short sales bargains?

The short answer is "sometimes". Often times people hear the words "short sale" and instinctively think of a seller that is in trouble and needs to sell their house quickly to prevent further financial problems. This is occasionally 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 is current, but property values have fallen. In cases such as these the reduced price may in fact be in line with actual market values instead of below.

What's involved in buying a short sale?

• Always do your homework before making any offers. Using a qualified real estate agent from Southdale Properties, Inc. to help you research a property will help you make knowledgeable decisions. We can help reveal to whom the property is titled, the balance still owed to the lender, and whether or not a foreclosure notice has been filed. Obtaining these facts can help you decide how much to offer.

• Use a real estate professional with short sale knowledge. Southdale Properties, Inc. can help expedite the transaction and make sure you're protected. Don't let inexperience delay the closing process. Put my knowledge and experience to work for you.

• 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. Know that most short sales will not close in the customary 30 days or less. Remember that you're not only having to satisfy the seller, but the lender must also agree to the discounted price. A lot of the time your offer will be sent to a committee to approve or disapprove, which will add time - sometimes even 2 to 3 months.
• Home protection plans, buyer credits and allowances, and closing cost concessions are usually non-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. Be sure you reserve the right to perform inspections for pests, HVAC, electrical, and other critical areas. At Southdale Properties, Inc., when I write an offer, I will be looking out for your interests first and will always recommend that you make your offer contingent upon the results of the inspections.