Mayra Dube
Vision Real Estate

Short Sales

This is when the owner is selling the home for less than what he owes the bank. There are tax concequences in this process so it is always good to contact an attorney before proceding. Banks will not generally enter into a short sale agreement unless you are behind in your payments, have provided financial information as to why you can't pay and also they have offered you the option of a short sale.

If you are looking into short sales there are two things you REALLY need.

1. Patience

2. Time

If you are in a hurry to purchase a property. Short Sales are not for you. Short Sales are different from foreclosures because the short sale could be in one of two stages.

1. The owner has an approved short sale order and is waiting for a sale. Which could possibly close in 3 to 4 months.

2. The short sale is not yet approved and the bank is waiting for an offer. Which they can either foreclose in the meantime or deny the short sale altogether. Most times if the right offer is submitted a short sale will get approved. Banks are not in the business of owning property. They want the property off the books. They will generally agree to 70% of the balance of the loan in accepting an offer.

Once the offer is accepted it can take anywhere from 6 months to a year for it to close. Due to the fact that banks have an overload of short sales and foreclosures going on now that the market is in shambles. Then you do not have the same person working on the file so everytime you call you get a diffrent person. The bank also handles the BPO that is sent out and that takes a while for that to get done. The banks are double checking the numbers. (NOW THEY DO THAT!) They make sure we have tried to sell at fair market value before signing off.

A short sale is very involved for both buyers and sellers, so time cannot be of the essence. You have to have patience and time for these types of deals to go through.

If this is something you are willing to do then call me and we can find a deal.