I often hear from a potential buyer..”I want a deal, you know..a Short Sale..something like that.” Let me make this really clear..the Short Sale “deal” is NOT always the best deal for you.
If you are considering buying a Short Sale, be sure your Agent understands how to handle the deal. It’s not just writing an offer and submitting it. The work starts BEFORE submission.
- Who is the List Agent?
- How many Liens?
- What is the Fair Market Value and what is the home priced at?
- How delinquent is the Seller?
- How accommodating is the Seller?
- Does the List Agent really UNDERSTAND the process?
- Who are the Lenders involved?
- Where in the process is the List Agent?
Even if all the questions are answered positively, there is always the issue of the incompetent negotiator. You have no way of knowing who your deal will be assigned to by the Lender..and that is crucial. A good negotiator can move a file to close within 90 days. A bad one can slow the deal down for many, many months. Are you tough enough for the Short Sale process?
Compare that Short Sale very carefully to the Standard Sales for comparable properties. $5-$10/sf more may be worth paying to know when you will acquire the home and when you can actually move in. Tread carefully when buying a short sale….that “deal” may not be such a good “deal” after all…