To see the video answer to this and other foreclosure prevention questions, be sure to check out our Short Sale Video FAQs page.
What is the advantage of buying a short sale? The thing I love about a short sale is that the homes are mostly owner-occupied. They’ve been taken care of and are still properly maintained. A foreclosure, on the other hand, is vacant for an average of six months up to a year before it even comes back on the market. A lot of bad things can happen in a house that hasn’t been occupied in over a year: the lawn is certainly dead; the interior has likely fallen into disrepair; and there may even be graffiti or intentional damage caused by squatters or disgruntled, evicted homeowners.
If you’re looking to save money, you should know that the prices on a short sale are comparable to a foreclosure. They’re both a little bit below market value. Obviously, if the house is in a wreck condition, you may get a better price on a foreclosure; but those deals are few and far between because you’re competing with investors with cash.
In a traditional sale, sellers are getting a premium right now because there’s no waiting for bank approval, and you’re not buying a home that’s in bad condition. Our traditional sellers who are listing with us are currently getting top dollar, actually over market value, for their homes.
All these factors combine to make a short sale a good buy: the home is in good condition, you can normally have it within 90 to 120 days, and you’re getting it slightly below market value for the time that you spend in a longer escrow. If you’re interested in a short sale property, Real Estate Insight Team knows how to get your offer submitted and approved. Contact us to find out how easy it is to close on the home of your dreams.