Short sale? – buyers beware!!
Meet & Discuss Further <|> Share Your Wish List
- a sure possibility of condition of property or title history, etc.
In fact, here are some excerpts from a disclosure for buyers. I think it says it best:
‘…. If you will be frustrated beyond the savings of a short sale, then consider buying a home not under short sale. In other words, be prepared to be frustrated during the attempted approval period…’
KNOW BEFORE YOU BUY A SHORT SALE
- Buyer and seller are advised that to a degree, all short sales are unique. Every transaction will be assigned to a loss mitigation specialist who will proceed based upon the current and ever changing needs and goals of the lender. What works with one short sale rarely is the same on the next.
- Buyer and buyer’s agent acknowledge that because we handle multiple transactions, in order to best serve everyone buyer/ buyer’s agent will receive a link to a communications site for updates on the short sale process. Calls made to the office/ agent(s) will most likely not be acknowledged if updates are already posted. Extra calls, texts, & emails do nothing to further the process.
- Once lender receives short sale offer documents, the lender may need minimum 40-60 days to approve. After approval, the sale must close at lenders approved time frame, often 30-45 calendar days, but may run 2 weeks to 12 months. It is common to receive no updates, no contact, and no calls from the lender.
- Any ‘seller’ funds are usually paid to lender. The seller will receive no cash except for a HAFA short. The seller will bring no additional cash for any closing costs, buyer’s appraisal or home warranty.
- Buyer home warranty is recommended by this office, your agent, and the broker, and may be purchased prior to close. The seller may not maintain the property.
- Should buyer purchase a professional home inspection (highly recommended), the seller will not agree to any requested repairs. Many lenders are going to require certain repairs as a condition for loans, costs will be borne by buyer.
- Buyer must communicate to seller through buyer’s real estate agent only as a courtesy to all involved parties.
- Please acknowledge the above _________________
One thought on “‘Short Sale’”
Great post. I purchased a short sale and I didn’t agree with what the bank wanted to sell it for so I got it for $20k less. It took six months but really worth it. I’m upside right of $180k with a messed up driveway less than 2 years in it and I purchased it with a low FHA loan. After my third year I will turn it over. That’s how I do my flip on a budget Cheers!