WSJ: With Foreclosures Stalled Short Sales Will Increase
14. Oct, 2010
3 Comments
The Wall Street Journal just released an article where I discuss ‘The Short Sale Alternative’ in light of the foreclosure turmoil the real estate market finds itself in.
The short sale market is poised to explode as investors and buyers begin to shy away from already foreclosed properties and banks look to limit their exposure to REO properties.
It is critical that agents who want to be successful in the next few years educate themselves about the short sale process, specifically the three new HAFA programs that are now taking over the residential short sale market.
Click here to learn more about our exclusive HAFA training that will allow you to become the “Short Sale Expert” in your community.
From the article:
When making an offer, do your own homework. Just because a short sale is priced at a steep discount relative to where it last sold doesn’t mean it’s a great deal relative to the current market. Conversely, some agents will underprice a listing in the hopes of sparking a bidding war, says Mr.
Sharga.Of course, the highest bidder doesn’t always win. “Banks want to see a clean offer with solid financing and no contingencies,” says Mr.
Churchill. Buyers who’ve been preapproved and bring hefty down payments to the table or can pay cash tend to get first consideration. And don’t expect the bank to bend over backwards making repairs; most sales are as is.
From The Wall Street Journal – Click here to read the entire article.
Author
The Short Sale market is here to stay,right now Mtg. Brokers and Realtors are doing evry thing they can to make it profitable, next it will be Closing Companies wanting to negotiate short sales and get rid of the middle men.
It is now a very intresting Real Estate Market for the Realtor,Seller,Buyer and Lender I forsee many legal problems on the horizon.
From the first of September til now several of the banks are verbally approving short sale, but taking over 5 weeks or longer to maybe send letter. Bank of America, Specializing Loan Servicing are being extremely slow and will not return calls or emails. You send the same papers over and over again. Will not work on the settlement of second loans without making agents give up commissions or else. The first determines the amount to second, but the second will not cooperate or approve the amount. Shelia
We have an offer on a short sale that has been accepted by the seller but we are waiting on Bank of America to give us an answer. It is going on 3 months and I have wondered if this is a stall to see if other offers will come forward. The realtor stated that she got and email that they wanted to set a close but now the owner wants to get BOA to negotiate a higher price. Does anyone know if we have any legal ways to hold firm on the price?
Thanks,
Jan