Ready to purchase a short sale?

Can I get a bargain on a short sale?

Sometimes. Most people hear the words "short sale" and automatically think of a seller that is in trouble and needs to sell their house fast to avert further financial problems. This is at times the case and can be an opportunity for a buyer to cash in on another's misfortune. In contrast, a lender may consider a short sale even if the seller isn't delinquent with their payments, but property values have depreciated. In cases such as these the reduced price may in fact be consistent with current market values rather than below.

What's involved in buying a short sale?

• Before making any purchase offers, do your homework. Using a knowledgeable real estate agent from Villar and Company Real Estate to support your research of a property can help you make informed decisions. We can help discover to whom the property is titled, the amount owed to the lender, and whether or not a foreclosure notice has been filed. Acquiring this data can help you determine how much to offer.

• Hire a real estate agent 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 of situations, 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 having to get approval from the seller, but the lender must also agree to the terms of the sale. It's not uncommon that your offer will go before 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 usually 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 inspections for pests, HVAC, electrical, and other critical areas. At Villar and Company Real Estate, when I write an offer, I'm looking out for your interests first and will always recommend that you make your offer contingent upon the results of the inspections.