Ready to buy a short sale?
Are short sales good deals?
Sometimes. Most people hear the term "short sale" and instinctively think of a seller that is in financial trouble and must sell their house quickly to prevent further financial problems. This is sometimes the case and can be an opportunity for a buyer to make the most of another's misfortune. Alternatively, 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 closer to actual market values instead of below.
Are you ready to buy a short sale property?
- Prior to making any purchase offers, do your homework. Using a qualified REALTOR® from McElroy & Associates 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 this information can help you decide how much to offer.
Use a real estate professional with short sale expertise. McElroy & Associates can help expedite the transaction and make sure you're protected. Don't allow inexperience to slow down 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. Be informed that many 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 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 warranties, buyer credits and allowances, and closing cost concessions are generally non-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. Always reserve the right to have the property inspected for pests, HVAC, electrical, and other critical areas. At McElroy & Associates, when I write an offer, I am looking out for your interests first and will always advise you to make your offer contingent upon the inspection results.