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SHOULD I BUY A SHORT SALE OR FORECLOSURE PROPERTY? 

Many buyers ask what exactly is the difference between the two.  They can be a terrific opportunity or a great deal, depending on your situation.  They can also be difficult and stressful.  Which one is for you?

BUYING A SHORT SALE

The property is still owned by the seller but you are at the mercy of the lender.  The seller signs the offer and the offer is then forwarded to the lender for approval.

A short sale may be priced above market value but we are seeing lenders accept lower prices to unload the property.

In many cases, the home is sold "as is" with the lender not agreeing to any repairs.

You do not know when you will receive a response on your offer.  The lender may respond in 30 days or 3 months.  With the increase in short sales, lenders are now responding faster to buyer's offers.

If you must be in your home by a certain date, a short sale may not be for you.  Short sales are definitely a great opportunity if you are not under a time constraint.

BUYING A FORECLOSURE

In many cases, the properties are sold "as is" and the lender will not take care of repairs.

Most foreclosures are priced to sell fast. 

You may be bidding against others so I recommend making each offer "your highest and best".  If a lender accepts another offer, you may not have a chance to increase your offer.

You are at the mercy of the lender. 

The timelime from the initial offer to closing is roughly 45-60 days but may vary.

This is a great option if you are not under a time constraint for your closing date.

 

Both properties are a great choice but be prepared for the waiting process.  If you would like more details on both options, please contact Karen today.

Karen's email:  karen.branham@cbunited.com

Karen's mobile:  850-832-8626