Jupiter Palm Beach Florida Top 10 Short Sale Tips

Top 10 tips for short sale

Short sale basically is an attempt by the existing owner, selling a home instead of the bank taking the home through the proceedings of foreclosure. Short sales help home owners to save on their credit rating and at the same time the heavy mortgage debt is lifted.

The process of short sale is pretty much same for all the states in the U.S. In order to get your short sale approved and take advantage of the process, you need to know a few things. Remember that the processes involved in short sale are often lengthy and thus frustrating. But the gain in much more! Here are few tips and information that you should know about short sale:

(1) A home owner generally opts for a short sale if they find that they owe the bank more than what the house is in the present market.

(2) The first step to shot sale is to hire a buyer broker which can normally be done without incurring any cost.

(3) Check whether the house is on foreclosure or not. If it is in foreclosure you need to know the sale date as well as the auction date. This means that you will not have much time to get it approved by the bank.

(4) The prices of the homes are set by the agents and the sellers. Many agents and sellers often set a low price with the hope to attract buyers. Generally the banks are not aware of the asking price set, though they have the final say on which offer is acceptable and which is not. The process is sometimes lengthy due to this lack of awareness about price.

(5) It is very difficult to get the approval for a short sale if the seller owes loan to two separate banks. Furthermore, the agent of the buyer has no control over it. The decision of whether short sale would be approved or not lies totally upon the willingness of the banks involved.

(6) Short sales can at times involve a long period of time. Therefore, you should not concentrate on one single property. It is better to have several options open by keeping eye on multiple properties. Most areas allow buyers to bid on multiple properties and offers.

(7) Sellers who have many properties and/or large net worth are generally not eligible for a short sale. In many instances the sellers have to sign a promissory note confirming that they would pay back the debts.

(8) The process time for the approved short sales are the quickest. The price of an approved short sale is already approved by the banks and therefore takes less time for the final approval. This happens when an interested buyer made an offer that the banks approved, but for some reason or the other the buyer could not execute the buying process.

(9) The buyer has to buy the house in ‘as it is’ condition. This implies that the buyer has to do all the repairs needed to improve the condition of the house, even if a loan has to be taken to renovate and repair the house.

(10) Different banks have different criteria to choose the final buyer. While some banks prefer wealthy buyers capable of making large down payments, while others may prefer less down payment with sound financial standing.

Take note it is important that you find a Realtor who specializes and who has experience in Short sales and foreclosures. Working with a Title Company that is owned and operated by an Real Estate Attorney I have been able to close on 100% of all my short sales. Buying a short sale does take patience and time, it is not for everyone. If you are considering Buying or Selling and want to know more on short sales Please feel free to contact Ellen Lillian your Short Sales Specialist 561-809-3233