Ready to make a deal on a short sale?

Can I get a good deal on a short sale?

Occasionally. Often times people hear the term "short sale" and instinctively think of a seller that is in trouble 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 take advantage of another's misfortune. In contrast, a lender may consider a short sale even if the seller is current with their mortgage, but property values have depreciated. In cases such as these the "bargain" price may in fact be consistent with true market values, not below.

What's involved in buying a short sale?

• Always do your research before making any offers. Using a knowledgeable real estate professional from Target Cost Realty, LLC to support your research of a property will help you make informed decisions. We can help find out to whom the property is titled, the amount owed to the lender, and whether or not a foreclosure notice has been filed. Having this data can help you make a decision about how much to offer.

• Hire an agent with short sale expertise. Target Cost Realty, LLC can help expedite the transaction and ensure that you're protected. Don't permit inexperience to hold up the closing process. Put my experience and knowledge to work in your favor.

• Even in the best of situations and with an experienced real estate agent, buying a short sale property will generally take longer than a typical real estate transaction. Know that many 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. It's not uncommon that your offer will go before a committee for approval, which will add time - sometimes even 2 to 3 months.
• Home protection warranties, buyer credits and allowances, and closing cost concessions are typically non-negotiable when dealing with a short sale. The lender will be selling the property as seen which means the lender isn't going to pay for repairs. Be 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 will be looking out for your interests first and foremost and will always recommend that you make your offer contingent upon the outcome of the inspections.