Foreclosures were the thing to buy, but if you didn't have cash in hand to buy them at the courthouse steps, then you had to find a Hard Money Lender to get you the Cash, but in the end it was still profitable!! Now there are Short Sales..
Well my friends, it's a buyers market and a Great Realtor will find you gold, everywhere, I am a Full time Mortgage Consultant in West Palm Beach Florida, and I know of thousands of Foreclosures, and Short Sales available to be purchased, all you need to do is educate yourself on how Foreclosures and Short Sales work.
A Short Sale is, when a Lender is willing to except a lower amount of Money, than what they are owed, for a home that they have financial interests in. Not all Lenders will accept a Short Sale agreement. Some reasons they would accept a Short Sale are as follows.
1. The client who has the Mortgage cannot make their payments on their home on time as agreed, and/or are in Default.
2. The selling client cannot sell their home for what is owed, due to the reduced value of their home due to market/or physical condition of the property, and they still have to be in Default.
3. The condition and Location of the home, and how the market has done in the subjects area will sway the lenders into accepting a Short Sale aggreement.
3. A Lender will not consider a Short Sale for someone who is not in a distressed situation, so it's not an option to ask the bank to take less than what you owe, because your having a bad month and you think you are up side down in your home. always Consult a Reputable Realtor for advice on, How and when to sell your Home.
Now when looking to buy a Short Sale, don't think you have a great purchase price on something if you don't do your research, This is where having a good Realtor comes in extremely helpful, keep in mind there may well be 2nd and 3rd Mortgage connected to the home, and then there is more negotiating that needs to be done. look for,
1. A Real-estate agent, that has experience in Short Sales, or is willing to learn about them, this will help protect you, in all of your interests.
2. Most time a Short Sale will take longer than 30 Days to close, but it's worth it if everything works out in the end.
3. You may want to consider a having a Title search done, this will assure that there is no liens and or Judgements against the property that could come up in the middle of doing your deal, it's a small price to pay for security.
When presenting offers through your Realtor, keep in mind that the lender that has interest in the property, has to agree or else you have no deal. Make sure if you are making an offer on a home you have the following..
1. Make sure you a Pre-Approval letter, not just a Pre-Qualification Letter, this can be done through a Reputable Mortgage person, I myself am a Full time Mortgage Broker in West Palm Beach, Florida, and I can help you get Pre-Approved, but this is a must..
2. Ask your Realtor to prepare a list of Com-parables to support your offer, also if there is any damage to the home, try getting an inspection with a full list and approximate costs to Repair, this will help tremendously.
3. You have the right to demand a time-frame for the lender to accept the offer, if you don't set a time frame then your offer will sit around until someone picks it up, and decides to work on it..
Everything above is actual and there is plenty more involved in Purchasing and Selling a Short Sale Home, so contact a Experienced Full Time Mortgage Broker and Realtor, to help you purchase a great buy in a Short Sale..
I read sign that my wife bought and it said.. Live, Love and Laugh Often!! There is good everywhere..
Enjoy Everyone,
Thomas Weiss
561-310-0315 Cellular Office 561-968-6683
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