Is it difficult to purchase a short sale home?
The short sale process may take more time than a traditional retail sale to complete and it may be difficult to pin down a firm closing date until the seller’s mortgage lender(s) agrees to the short sale. If a buyer is bound by a specific timetable to buy a home, the short sale may not be an ideal route.
What do I need to know about buying a short sale home?
- Defining a Short Sale.
- Check the Public Records.
- Hire an Agent with Short Sale Experience.
- Qualifying the Property and Seller for a Short Sale.
- Submit Documentation and Purchase Offer to Lender.
- Give the Short Sale Lender Time to Respond.
- Understand Short Sale Commissions.
- Reserve the Right to Conduct Inspections.
Is buying short sale a good idea?
In short, short sales are a good idea if you have plenty of time and money. A short sale buyer may get the property at a reduced price, but the property (in all likelihood) has its share of problems — think “fixer-upper” — and the deal needs to go through considerable red tape to make it happen.
Can a seller back out of a short sale?
Sellers Who Cancel Short Sale Contracts In California, buyer’s agents generally attach a “short sale addendum” to the purchase contract. The short sale addendum specifies that the entire transaction is contingent upon lender approval. A seller may decide to cancel the listing, and the listing agent will agree.
How long does it take for a house to be under contract?
The most common time period for settlements in different states is 60 days, except in New South Wales where it is 42 days.
Can we put an offer on a house that is pending?
You can usually still submit a backup offer on a home that’s pending, but you may not be able to view the property. If you decide to submit an offer, make sure that your finances are in order and stay in touch with the home’s listing agent.
Can I beat a contingent offer?
After the offer is made, it’s up to the seller to either accept the contingent offer, reject it or make a counteroffer that eliminates the contingency. If the seller is willing to accept the contingent offer, they typically have two options.