Myth Buster– “I Can Get The Best Deal By Limiting My Search To Short Sales And Foreclosures.”

Buyers frequently tell me that in order to get the best deal, they only want to shop for short sales and foreclosures.  Well let me clear up this tangled misconception.  Yes, a Short Sale (mkt value is less than the loan amt owed) can result in a good deal, but be prepared, it is a complex, lengthy and frustrating process.  Don’t rule it out as an option, but do NOT limit your search to these categories.  Here are just a few things you should consider before making an offer on a short sale:  *The lender must approve the sale and this process takes time, in most cases, 60 days-6 months.  *Although short sales are more common now, the process is still relatively new, and there is no Standard Operating Procedure-every bank has it’s own guideline. *A banking institution may not consider the seller’s hardship application until an offer for purchase is submitted, in other words, your offer may sit while the lender is determining if the seller even qualifies for a short sale. *Lender will likely sell the home “as is” and will not provide a seller’s disclosure. *Offers that are not competitively priced will not be considered, banks are saying NO to low offers  *Offers with contingencies are usually not considered.

Foreclosures are a little more straight forward and can typically be done in a more timely fashion, however some of these guidelines still remain. So be warned the process takes time and with out question, a Professional Realtor who can help maneuver through is a must!  What you need is a solid buying strategy.  Call me, I am happy to help, I have been selling in the Charleston Real Estate Market since 2000, let my experience help you!


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