What you should do is hire a qualified Real Estate Agent that is experienced in Short Sales and Bank Owned properties. Let them quide you along the way. Not only is it important to find the right funding, but just as important to find the right attorney as well.

I am available if you would like to speak to me in reference to this.

Good Luck

Cathy Cataletto
Licensed Salesperson in New York and New Jersey

Buyer first on a short sale the bank does not own the house the owner that is having hardship owns the house. Fha works for short sale homes. The thing to be careful of when you get your response back the lender may want a rapid close. The closing that they approve may be in as little as 15 days after acceptance. Fha type loans may not be able to have all the paperwork completed in that time frame.

By the way using the same lender as the currrent owner does not help. There is someone that thought the same thing and was trying to make it easy. The lender, sellers side has an appraisal that is 12,000.00 higher than the same lender buyers side. No full purchase loan because the property did not appraise for full value and the lender sellers side will not approve a lower price!

Welcome to the world of short sales!

Please keep in mind that when buying a short sale house the seller will not generally agree to complete any repairs, and if the FHA appraiser calls for repairs they might fall back on you to pay. But FHA is certainly OK with a short sale as long as the home will pass FHA

FHA loans are acceptable. the majority of loans today are FHA loans. FHA is a goverment insured loan. FHA loans do work with short sale homes the only obsticle that I see is the closing costs. Adding closing costs in to the purchase price will make the offer less desirable to the bank. Closing cost are exactly the same regardless of short sale or not. There aren't really any special precausions you should take. When buying a short sale home the waiting time is longer than the conventional way. Applying for a loan at the same bank will probably have no effect on the short sale approval. This usually helps when purchasing a bank owned property (REO). I hope that I have answered all of your questions. Please feel free to contact me should you would like to ask additional questions.
On Your Team.
Irena Popilevsky