Looking to make a deal on a short sale?

A short sale means the homeowner's lender consents to receive a reduced payment to release a mortgage.

Can I get a bargain on a short sale?

Sometimes. Most people hear the phrase "short sale" and automatically think of a seller that is in default and needing to sell their home promptly to avert further financial problems. This is occasionally the case and can be an opportunity for a buyer to take advantage of another's misfortune. Alternatively, a lender may consider a short sale even if the seller is current, but property values have depreciated. In these cases the reduced price may in fact be in line with 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 a knowledgeable real estate agent from RE/MAX PROFESSIONALS to support your research of a property can help you make informed decisions. We can help find out to whom the property is titled, how much is owed to the lender, and whether or not a foreclosure notice has been filed. Having this information can help you determine how much to offer.

• Hire a real estate agent with short sale knowledge. The real estate agents at RE/MAX PROFESSIONALS can help expedite the transaction and make certain you're protected. Don't allow inexperience to impede the closing process. Put our experience and knowledge to work in your favor.

• Even with an experienced real estate agent and under the best circumstances, buying a short sale property will probably take longer than a typical real estate transaction. Know that many short sales will not close in less than 30 days. Remember that you're not only having to get approval from the seller, but the lender must also agree to the discounted price. Commonly, your offer will be presented to a committee to approve or disapprove which will add time - sometimes even 2 to 3 months.
• Home protection warranties, buyer credits and allowances, and closing cost concessions are usually not up for negotiation when buying a short sale. The lender is selling the property "as is" which means the lender won't be paying for repairs. Always reserve the right to perform inspections for pests, HVAC, electrical, and other critical areas. At RE/MAX PROFESSIONALS, when we write an offer, we will be looking out for your interests first and will always recommend that you make your offer contingent upon the outcome of the inspections.

When it's time to buy, whether it's a short sale or a typical home sale, RE/MAX PROFESSIONALS is available for you. Apply our experience and knowledge of real estate to make sure that you are getting a fair deal and are protected during the entire purchase transaction.