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Jupiter FL short sales
SHORT SALES
In recent months, you may have noticed you are hearing more and more about "short sales" in Jupiter Florida real estate market. This has left many consumers wondering, "what exactly is a short sale?" A short sale occurs when the homeowner cannot afford to continue making their mortgage payments, and the bank holding the mortgage agrees to let the homeowner sell the property for less than they owe on it. In other words, the bank agrees to settle the mortgage debt for an amount "short" of what is actually owed.
Many potential buyers are attracted to short sales since they tend to be priced lower than market value, or at least lower than other homes in the neighborhood. However, there are several things you should be aware of when dealing with a short sale. First, be aware that short sales take a much longer time to close than standard sales. You are probably looking at a few weeks to a few months to even hear back about the acceptance of your offer, then a few more months between offer acceptance and closing. Second, be aware that you are dealing with the bank, not the homeowner. This means that the homeowner does not have the authority to accept your offer, and even if you offer the full asking price, the bank may still reject your offer. Finally, you must realize that once you submit an offer on a short sale property, you are locked into that contract. It may take the bank several months to get back to you, and if the market has fallen a few percentage points in the meantime, the house you put the offer in on is now worth less than it was at the time of the offer. Unfortunately, you are locked into the offer, and it's a risk that buyers of short sale properties must take.
Short sales are not for everyone. They are best suited to buyers who are able to wait out the extended negotiations and closing time tables. They are also best suited to buyers who are able to make the "cleanest" offers. Specifically, banks are partial to buyers who can offer cash, who are willing to get inspections done before putting in the offer, and who do not need to ask for extras concessions such as seller-covered closing costs or repair work.
Because short sales are more complicated than regular sales, it is imperative that you choose a Realtor to represent you who has experience in short sales. Palm Beach County, Florida in particular has been hard-hit with short sales, but not every Realtor is knowledgeable about the details of this specialty. Call Ted Guarnero of The Ted Team for help finding worthwhile short sale properties. Ted's Short Sale Team will handle the negotiations for you, and make sure that your best interests are protected throughout what can be a complicated process.
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Date: Monday, January, 26th 2009 @ 05:45:00 PMViews: 517
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