Why Cash Buyers Are Looking Into Florida Short Sale Properties

The housing market, despite its enduring problems, is certainly benefiting from a new trend these days — cash buyers. More and more markets are being swept by this trend especially regions where short sale properties are in abundance.

So why is cash (buyers) king these days?

Cheap Prices

For starters, the local housing market is brimming with foreclosed and short sale properties, all of which are priced lower than other non-distressed properties. In fact, there are homes sold at half their current market values which mean almost instant equity for home buyers. If you are paying cash then you certainly want to maximize what your money can buy.

Plenty of Choices

Home buyers are certainly pleased with the large selection of cheap short sale and foreclosure properties to choose from. The enduring housing crisis and sluggish economy has dragged home prices down so low that thousands of homeowners across the state are currently underwater. This means most owe more in mortgage compared to what their home is currently worth in the market. Most of these homeowners would prefer selling via a short sale transaction than let the bank foreclose. Cash buyers definitely has the advantage since sellers would want to choose you instead of taking an offer from another buyer who will still look for financing to make the purchase.

Banks Are Pushing Short Sales

This leads us up to the last reason why short sale properties are attracting cash buyers. Lenders have finally realized that short sales are better than foreclosing — it’s faster and cheaper for them in the long run. Most hesitate if the buyer will be getting a loan to finance his purchase but if the buyer pays in cash, you can count on the lender to approve the short sale proposal quickly.