Buyers and TV are a dangerous combination!

By
Real Estate Sales Representative with Re/Max Central

My buyer would not listen. No, the bargain short sale was what they wanted! Well I tired to explain the pit falls of such a purchase. And now they have to move and have no home to go to. To get back on track*****

Repeatedly I told them:

1) this process does move at a snails pace.

2) Of course I told them the bank agreed to a payoff price not the sales price.

3) That no walk through will be done as the utilities are turned off now!

As we continued in this tangled mess the buyer got extremely upset. As i proceed to explain the In's and outs of a short sale again. Do not expect the banks to work closely with you. Sometimes I wonder why we put our money in these institutions which in these cases seem so inadequate. People never get back to you in a timely fashion. Closing dates mean nothing to them. If they would work faster things could maybe work out. But, by the time to close comes around all the numbers have changed. The utility bills are due and are higher. The first payoff is higher, and everything is in arrears. So it's back to step one!!!! What will the 2nd lien accept?
Well folks by the time we get the answer this time everything will change again. My buyers have finally listened to me and have walked away. We are now in the process on closing on a nice home which is still a good value.  But they learned a very good lesson. Which is do not believe everything you read in the papers and all that you see on TV. The unfortunate part of this whole mess is that it cost time and money for both me and the buyers. So In conclusion stay away from these for your first time buyers who need to move. The time spent on this endeavor is totally not profitable in the long run. And the experience leaves the buyers with an uneasy feeling as to how real estate is done. Even suspecting us professional's of not knowing one hand from another!! 

Comments (7)

Bill C. Merrell
Merrell Institute ~ Appraisal Education Network - Bohemia, NY
Ph.D. - Merrell Institue

SHORT SALES ARE TRICKY WITH NO WARRANTY.

MUCH LUCK AND SUCCESS.

BILL

Jul 05, 2008 03:26 AM
Joan Whitebook
BHG The Masiello Group - Nashua, NH
Consumer Focused Real Estate Services

It is very difficult when Buyers think they are well educated by watching TV.  I let buyers know we strongly recommend that they have any attorney review the legal documents with them so they know what they are getting into.

Jul 05, 2008 03:29 AM
Aaron Barnes
Barnes Real Estate Brokerage - Destin, FL

I steer clear of short sales...  Wait till the bank gets it...  REO

Jul 05, 2008 03:36 AM
Dawn Maloney
RE/MAX Trinity Northeast Ohio Real Estate Specialist - Hudson, OH
330-990-4236 Hudson & Northeastern Ohio

This is an area where reality TV is nowhere near reality in the fresh air. I've had to learn way too much about short sales over the last three years...Polly Hamilton from Columbus has an agreement that she has buyers sign before they begin the short sale journey. You may want to contact her for it if you venture into more short sales. I know I am using it!

I hope it all works out - keep your notes!

Jul 05, 2008 03:37 AM
Teresa McDonald
EME Realty - Florence, SC
ABR, Florence and Lake City SC Real Estate

TV not only leads buyers down the wrong path, but I think TV can also lead our kids down the wrong path. We need to be careful and not let TV be our babysitter. There is a lot that kids don't need to see and kids need physical activity. We are reaching an epidemic with obese children.

Jul 05, 2008 03:54 AM
Gary L. Waters Broker Associate, Bucci Realty
Bucci Realty, Inc. - Melbourne, FL
Eighteen Years Experience in Brevard County

I am beginning to think that the best bet is to wait to it forecloses - less hassle!

Jul 05, 2008 03:57 AM
Perky Hammer
Re/Max Central - Lansdale, PA

I want to thank everyone for all the great comments I am getting. The best so far is to wait till it goes to foreclosure. This would be the smartest plan of all

Jul 05, 2008 04:02 AM