Today, it seems that homes are actually selling.
In fact, the Phoenix real estate market report by RL Brown reported that resales in the metro area were up 69.94% in September 2008 from September 2007!! New home sales were up 15% from July.
However, most transactions on the resale market are still short sales and lender owned homes. If you are going to by buying Phoenix real estate or Scottsdale real estate , you must know the differences between resale transactions, short sales and buying bank owned real estate.
The first question that needs to be answered is whether or not "short Sales the same as regular transactions ?"
The answer is "yes", and well, "No".
Resale transactions have buyers and sellers. Short sale transactions have buyers and sellers. However, in a short sale , nothing can happen without seller approval (first) and ultimately bank has to give the third-party approval. In that way, short sales are (virtually) the same as lender owned real estate transactions.
So yes, these types of transactions , from a buyer's perspective, are all the same. There are some differences in terms of contracts, addendum, , loan and inspection contingencies and earnest monies that you need to be aware.
Finally, many banks are also skeptical of offers with financing with small down payments which includes FHA loans which mostly use 3% down-payment. These offers have a high degree of fallout prior to close escrow so banks are looking at lower prices offers with cash or larger down payments. So the highest offer is not necessarily accepted.
If you are going to buy a Phoenix AZ short sale property or Scottsdale lender owned home, ask the listing agent to contact the bank and inquire whether there is an approved LSR provider that you can use. It will give you a much higher likelihood that your offer will be considered and accepted.
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Copyright © James Wexler *Are Short Sales the same as regular transactions ?*
If you are listing your home as a short sale in Phoenix Arizona or Scottsdale Arizona make sure you hire an agent who knows how to do short sales and has the experience to get the job done.
Call 480.221.8080 to find out more about Phoenix AZ Short Sales and Scottsdale AZ short Sales
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