Short Sales is dominating the market by over 50% beginning with low priced homes up to the millions. It is unfortunate it is occurring and will continue for a very long time which is why I have taken continuing education classes on short sales and have been involved in several tricky transactions on short sales to help homeowners either sell their homes or save their homes by negotiating with lenders on their behalf. Each deal is exciting and unique.
But what all is involved in a short sale and how did homeowners get in this position? I believe the lenders overextended themselves and loaned money to unqualified buyers in addition created loan products that enabled a person to qualify for a loan without proof of income and without proof of savings. What did the lenders think would happen?? Did the home buyers really think they could sustain keeping up with increasing payments??
Hello!
If your are a buyer of a home in a short sale position, beware. If the list price is not approved by the lender it could take months for the lender to review the offer. And you may never get approved. What I am seeing now is multiple offers on a single property is back. This is driving prices back up to higher than median priced levels.
The market is flooded with so many homes, the prices are so low, and more importantly the interest rates on 30 year loans keeps falling. For many home shoppers out there, it is like being a kid in a candy store. Too much to choose. So while it is a hot buyers market, "shoppe till you drop"
I spend my days looking for properties for my clients. I live, breathe, and sleep with real estate on my mind. I cover the Calabasas, Hidden Hills, Malibu, Woodland Hills, and West Hills areas.
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