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Rita, Other/Just Looking in Wylie, TX

Is there an advantage in offering cash when attempting to buy short sale property?

Asked by Rita, Wylie, TX Thu Feb 21, 2013

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The advantage of a cash transaction is a quick close and that is it. On a short sale property you will close if and when the bank says you will.

Hope that helps, best of luck to you.
0 votes Thank Flag Link Fri Feb 22, 2013
There is no advantage in offering to pay cash when attempting to buy a short sale property.

There may be the advantage of a quicker close at the closing table; but financing the purchase is only one element of a many element process when purchasing a short sale property.
0 votes Thank Flag Link Thu Feb 21, 2013
In theory - yes; in fact, maybe.

Cash offers tend to be less complicated, many omit the appraisal contingency - which no buyer should ever do. They also tend to be much faster to close - all good. The "but" is that short sales are complicated on many levels - lots of moving parts and all have to mesh to get to the point where cash becomes an advantage.

The main issue right now - and this seems to be nationwide - are the banks trying to get as high a price as possible; to the point of not approving deals and letting them roll into foreclosure. Once foreclosed, the properties are then sold, often above market to buyer's obsessed with the idea of "getting a deal".

AGBeat went so far as to wonder whether this is an orchestrated plan by FNMA -

http://hankmillerteam.com/2013/02/13/is-fnma-forcing-buyers-…

Short answer - yes, cash is always considered the best route; just don't expect them to drastically cut price or give you any type of special treatment.

Hank
Web Reference: http://www.hmtatlanta.com
0 votes Thank Flag Link Thu Feb 21, 2013
As with most all questions involving Real Property transactions, Rita, the answer is usually...It depends. When a property has already undergone the Foreclosure process, cash would almost always be king. In a Short Sale, the Investors generally make the ultimate decision and they likely don't care if they are getting 50 cents or 70 cents on the dollar in cash or other fiat as long as they minimize their loss. Please call, text or email if we can provide further assistance. Good Luck!

Michael Hammond
SellsRealty@gmail.com
404-538-5499

http://www.georgiamls.com/agentsite/index.cfm?SiteID=HAMMONDJOHNM

http://www.chapmanhallprofessionals.com

http://www.SellsRealty.org

http://www.city-data.com/

http://www.greatschools.org/
0 votes Thank Flag Link Thu Feb 21, 2013
When dealing with "distressed" property, I have found there is a great advantage to be able to offer cash. Banks are far more willing to deal with you, knowing that with a non-contingent cash offer, they have something they can count on and get a troublesome property off their books. The longer they have been dealing with it, the better they'll like your offer.
0 votes Thank Flag Link Thu Feb 21, 2013
I think that there is always a slight advantage when offering cash. Good luck!
0 votes Thank Flag Link Thu Feb 21, 2013
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