Want to buy a short sale?

Are short sales bargains?

The short answer is "sometimes". Most people hear the phrase "short sale" and routinely think of a seller that is insolvent and needs to sell their property fast to avoid further financial problems. This is occasionally the case and can be an opportunity for a buyer to cash in on another's misfortune. In contrast, a lender may consider a short sale even if the seller is current, but property values have fallen. In these cases the "bargain" price may in fact be in line with actual market values rather than below.

Are you ready to buy a short sale property?

• Before you make any purchase offers, do your research. Using a qualified real estate professional from Target Cost Realty, LLC to help you research a property can help you make informed 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. Having this data can help you decide how much to offer.

• Hire an agent with short sale expertise. Target Cost Realty, LLC can aid you in expediting the transaction and make certain you're protected. Don't let inexperience impede the closing process. Put my knowledge and experience to work for you.

• 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 informed that a majority of short sales will not close in the customary 30 days or less. Remember that you're not only having to get approval from the seller, but the lender must also agree to the discounted price. 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 protection plans, buyer credits and allowances, and closing cost concessions are generally non-negotiable when buying a short sale. The lender is selling the property as seen which means the lender will not be paying for repairs. Make sure to reserve the right to have inspections for pests, HVAC, electrical, and other critical areas. At Target Cost Realty, LLC, when I write an offer, I'm looking out for your interests first and foremost and will always suggest that you make your offer contingent upon the outcome of the inspections.