Want to make a deal on a short sale?

Are short sales good deals?

The short answer is "sometimes". Often times people hear the words "short sale" and instinctively think of a seller that is insolvent and needs to sell their house fast to avert further financial problems. This is sometimes the case and can be an opportunity for a buyer to do well from another's misfortune. Alternatively, a lender may consider a short sale even if the seller is current with their mortgage, but property values have declined. In these cases the reduced price may in fact be closer to actual market values rather than below.

Are you ready to buy a short sale property?

• Prior to making any purchase offers, do your homework. Using an experienced REALTOR^® from Homestead Realty, Inc. to support your research of a property can help you make informed decisions. We can help learn to whom the property is titled, the balance still owed to the lender, and whether or not a foreclosure notice has been filed. Finding these facts can help you make a decision about how much to offer.

• Use a real estate agent with short sale experience. Homestead Realty, Inc. can help expedite the transaction and make certain you're protected. Don't let inexperience slow down the closing process. Let my experience and knowledge work for you.

• Even in the best of situations and with an experienced real estate agent, buying a short sale property will usually take longer than a typical real estate transaction. Be aware that many short sales will not close in 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 sale terms. Commonly, your offer will be sent to 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 normally not negotiable when working with a short sale. The lender will sell the property "as is" which means the lender will not be paying for repairs. Make sure to reserve the right to perform inspections for pests, HVAC, electrical, and other critical areas. At Homestead Realty, Inc., 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 results of the inspections.