Are Short Sales REALLY the BEST deals???

Are Short Sales REALLY the BEST deal???  I deal with a lot of Short Sales.  I represent Sellers and have done so for many years.  I also represent Buyers.  My Buyers are not always intending to look at a Short Sale, but just about every one of them becomes mesmerized with the price/sf.  Let's face it.  Short Sales are almost always priced below the rest of the neighborhood comps..based on price/sf.

It's probably pretty easy to see where I'm going here.  Don't Buyers care about ANYTHING except price/sf???  It depends.  If I am working with investors, they ONLY look at the price/sf for that location in that development.  If I am working with someone who is hoping to capitalize on the low prices here in the Palm Springs and La Quinta areas, perhaps to buy that vacation home they've been dreaming about, a few more demands may be made.  This Buyer may be drawn to the Short Sale initially because it is priced so aggressively, but more often than not, they end up paying a bit more for a similar home, once they have lost one or simply grew tired of the Short Sale battle.

Short Sales really ARE the best deal if:

1.  You are an investor and you don't give a hoot about ANYTHING except stealing a property that you can flip and make some money on.  (Problems arise here because the time involved in closing a Short Sale can eat into your profit margin..)

2.  You are a very patient person that REALLY, REALLY wants that house.  Even then, remember that there is absolutely NO guarantee you will get it.  I have had banks slam their Short Sale files shut after months and months of negotiating..so don't arrange your furniture until AFTER that Escrow closes..

3.  You are not in a hurry, are not attached to the home, really don't mind if you don't get it, and can just go on about your life while your Agent works to get the Short Sale done for you.  This is probably the best bet for a great Short Sale buyer. 

Short Sales are NOT the best deal if:

1.  You HAVE to close by a certain date.  Forget it. 

2.  You have contingencies.  There is already a huge contingency on this deal..that of Lender approval.  Clean offers only!

3.  You have to get a loan.  Not because the Seller won't appreciate your pre-approved loan, but the reality is that Short Sales take so long, your Lender is going to have to re-approve you in 30 days anyway..so again, look elsewhere.

Think about your own circumstance.  weigh your options, listen to your Realtor, and educate yourself!