If you’ve been searching for a new home for any length of time, you’ve probably heard the term short sale. But what does it mean – and could a short sale property be right for you?
What is a Short Sale?
A short sale refers to a sale in which the original mortgage lender agrees to sell a home while letting the homeowner out of his or her end of the bargain. The home may sell for less than the amount the owner owes, and that’s where the term comes from; it refers to the bank accepting less money than what is owed.
A short sale means the property owner doesn’t make a profit. However, the property owner may be able to avoid credit problems and escape the long-term consequences a foreclosure would bring.
Are Short Sales Good Buys?
In many cases, short sale properties are bargains. The lender doesn’t want to keep the property if it’s not bringing in any money at all, so it makes sense to sell them at reasonable prices.
Sometimes it’s possible to search North Florida short sales and find a great home that you wouldn’t ordinarily be able to afford.
Buying a Short Sale in North Florida: Useful Tips
If you’re thinking about buying a short sale, it’s important that you:
- Have a preapproval letter from a lending institution. The seller (the original lender, in this case) will be able to consider your offer more seriously if your lender has preapproved you to borrow.
- Make sure you’re working with a real estate agent who has plenty of experience with short sales.
- Be patient. Most short sales take between 3 and 5 months to complete.
Ready to Find a North Florida Short Sale?
Let’s talk about what’s available in North Florida that meets your needs. Call us at 386-243-0124 or get in touch with us online. We’d love to talk about what you want from your next home, and we’ll walk you through the whole process, from start to finish.
