When doing a short sale in real estate, it means that the lender is accepting less then the total amount due. Not all lenders will accept a short sale.  Sometimes, it makes more sense financially for the lender to foreclose on the property.  Every circumstance is different. Not all sellers and all homes will qualify for a short sale.  

Short sales are not for everyone. The closing process can take 30-90 days unlike your usual real estate closing which can take up to 30 days.

 

An example of a short sale is if the seller owes $400,000 and the mortgage is worth $350,000.  They contact a real estate agent who will list their home.  Once receiving an offer the real estate agent will negotiate with the bank and in most cases the bank will agree to take a short of $50,000 rather then have the homeowner go to foreclosure.

Foreclosure can ding your credit for many years to come. In some cases the bank will ask the homeowner to pay back the mortgage when going in to foreclosure.

A bank owned property is a property that has been foreclosed on and is owned by the bank

 

 

The Benefits Of A Short Sale

 

The lenders are able to reduce most of their losses and avoid going through foreclosure.

Buyers are able to take advantage of most short sale homes for sale and get good deals on a home.

Sellers are able to avoid foreclosure which can be very costly and may also be able to preserve their credit.

 

 

For more information from an experienced short sale and foreclosure specialist, please contact

 

Shelley Propernick at John L Scott Real Estate

206-920-0244 or email shelleyshomes4u@yahoo.com

 

I will be happy to provide you with the information you are requesting and personally take you through the steps of a short sale.