Ready to make a deal on a short sale?

Are short sales bargains?

From time to time, yes. Most people hear the words "short sale" and automatically think of a seller that is in financial trouble and needing to sell their home promptly 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. More commonly, a lender may consider a short sale even if the seller is current with their mortgage, but property values have fallen. In these cases the discounted price may in fact be closer to current market values instead of below.

What's involved in buying a short sale?

• Prior to making any purchase offers, do your homework. Using a knowledgeable real estate professional from Villar and Company Real Estate to help you research a property can help you make knowledgeable decisions. We can help reveal to whom the property is titled, the balance still owed to the lender, and whether or not a foreclosure notice has been filed. Obtaining this data can help you make a decision about how much to offer.

• Use a real estate professional with short sale knowledge. Villar and Company Real Estate can assist you in expediting the transaction and make sure you're protected. Don't allow inexperience to slow down the closing process. Put my 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. Be aware that many short sales will not close in the customary 30 days or less. Remember that you're not only getting approval from the seller, but the lender must also agree to the sale terms. A lot of the time your offer will be seen by a committee to approve or disapprove, which will add time - sometimes even 2 to 3 months.
• Home protection plans, buyer credits and allowances, and closing cost concessions are normally not up for negotiation when dealing with a short sale. The lender will sell the property as seen which means the lender won't be paying for repairs. Make sure to reserve the right to have the property inspected for pests, HVAC, electrical, and other critical areas. At Villar and Company Real Estate, when I write an offer, I will be looking out for your interests above all else and will always recommend that you make your offer contingent upon the inspection results.