Q: We have been looking at many listings that are Short Sales. Can you tell us what a Short Sale is?

A: In a short sale, the lender is willing to sell a home for less money than is owed on the home. However, the lender is not required to accept your offer. In most instances short sales are anything but “short” and it usually takes longer to receive an acceptance on an offer than it would on a non-short sale listing. You may have to make many offers on multiple short sale listings before you get an acceptance and we are willing to assist you with this process.

If you decide to make an offer on a short sale, you should hire an agent who is experienced in short sale negotiations and transactions. Through a title company, your agent will be able to find out who is on the title, how much is money is owed on the home and if there is more than one mortgage. Your agent should also make sure your offer is made contingent upon your approval of a home inspection. We encourage you not waive your right to a home inspection. More often than not, a home listed as a short sale is sold “as is”. This usually means the lender will not pay for the repairs isolated by the inspection but at least you will know what you are getting into.

Posted on Wednesday, November 26th, 2008 at 12:38 am and is filed under Questions and Answers. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.