Ready to purchase a short sale?

Are short sales bargains?

From time to time, yes. Often times people hear the term "short sale" and automatically think of a seller that is in default and must sell their home quickly to avert further financial problems. This is sometimes the case and can be an opportunity for a buyer to cash in on another's misfortune. More commonly, 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 discounted price may in fact be closer to current 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 Villar and Company Real Estate to help you research a property can help you make informed decisions. We can help find out to whom the property is titled, the balance still owed to the lender, and whether or not a foreclosure notice has been filed. Obtaining these facts can help you make a decision about how much to offer.

• Hire a real estate professional with short sale knowledge. Villar and Company Real Estate can assist you in expediting the transaction and ensure that you're protected. Don't permit inexperience to delay the closing process. Let my experience and knowledge work for you.

• Even with an experienced real estate agent and under the best circumstances, buying a short sale property will usually 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 having to satisfy the seller, but the lender must also agree to the discounted price. It's not uncommon that 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 generally not up for negotiation when working with a short sale. The lender is selling the property just the way it is which means the lender isn't going to pay for repairs. Make sure you reserve the right to have inspections for pests, HVAC, electrical, and other critical areas. At Villar and Company Real Estate, 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 results of the inspections.