Dorchester Short Sales are a great opportunity to pick up a home for potentially way less than market value in one of the most affordable and attractive areas of Boston. For those who are still a little unsure what a short sale is, it is when a homeowner is able to get the bank who is holding their mortgage to allow a sale that is less that what the balance of the mortgage is (the bank takes a loss). For homeowners who have negative equity (or are "upside-down"), this is a much better option than getting foreclosed on. It's usually ends up being a win-win-win-win situation for all those involved.
The buyer wins because they are getting a home for either under market or close to market value.
The homeowner wins because they are able to sell the home even though the loan balance is higher than the market value. They would not have otherwise been able to sell because they had no equity to pay off the loan balance and all of the selling expenses. Also, selling via short sale is much better than being foreclosed on because it does not hurt their credit as bad and they can buy another home sooner.
The agents involved win because they are able to earn a commission on a house that would not have otherwise been able to sell or even be on the market.
The bank also wins because even though they're taking a loss on the mortgage, it's a lot cheaper than paying to foreclose on the homeowner and prepare the home to sell as an REO property.
Dorchester short sales account for about 12% of all sold properties during the last 12 months (one out of every eight). Currently, 15% of the available active inventory are short sales. This is one of the highest rates in all of Boston as well as the state to pick up a short sale.
As an agent who has negotiated and sold many short sales in Dorchester as well as many other communities, for both buyers and sellers, please let me know if you have any questions about Dorchester short sales. Right now, the cheapest short sale single family available if $169,000, the cheapest short sale condo is $60,000, the cheapest short sale two-family is $145,000 and the cheapest short sale three-family is $262,000. These are way below the average asking prices that are out there and with a little patience, you can really get a great deal looking at Dorchester short sales.