Both are the same, you need to find a Realtor that is experienced in both. I would suggest you look for a Realtor with an SFR (Short Sles and Foreclosure resource) to help you in your search for a property.
You should be able to look a the website. Or look on Realtor.com fopr SFR Realtors in your area!
Bank owned is also considered a foreclossure and REO. They are much easier to purchase than a short sale. You can get lucky with a short sale depending on the bank, how many banks are involved and any other liens on the property. If the seller claims bankruptcy it can also make it more challenging. I have had some take over a year and others a few months.
Best of Luck,
A short sale is when the owner is attempting to sell for less than is owed on the property. The seller/individual still owns the property, but the transaction is contingent on the approval of the lender.
To answer your question, given a choice, bank-owned generally is easier than a short sale.
However, don't restrict your search to just those categories. Figure out what you want and what you can afford. If it turns out that everything that's available is a foreclosure or a short sale, then fine . . . go with that. But there are plenty of good bargains from just individual sellers . . . and not all foreclosures and short sales are good values. Besides, buying from an individual seller (not in a short sale situation) typically is much easier than eithr buying a bank-owned property or a short sale.
Hope that helps.
Debbie Albert, PA
Coldwell Banker Residential
Hi! I have been working with short sales for 3 years and foreclosures for 2 years. Your questioning on short sales or foreclosures in the condo market should really be questioning financing. Condo are pretty upside down and it should not matter what your choice is as long as you are placing a minimum of 25% to 30 percent down.
Susan Penn, PA
NAR Certified in Short Sales and Foreclosures
2000 Main Street
From my personal experience, short sales require unlimited patience, and if you are the buyer, there is no control. In some cases, the listing agent of the short sale listing, is experienced with short sales and does what is required to see it through...it's a tedious, difficult job that demands a listing agent with unlimited tenacity (they are in pretty short supply).
Often foreclosures, or even REO listings, have multiple offers and when that is the case, cash is usually king. Banks don't want to worry about the buyer qualifying for a mortgage, and lending qualifications have definitely tightened up.
My personal feeling is that you need a good Realtor (they are not created equal) who can find you a condo with a motivated seller, and you have a better chance to get a good property at a good price. Banks are not fond of negotiating and usually the listing price, or close to it, is what they'll take. With a short sale or foreclosure, there are no warranties, repairs or assurances...it is what it is...AS IS...
I'd be happy to speak to you further...you can reach me anytime at...
Bette Abrams PA, GRI
Coldwell Banker Residential Real Estate
When you start looking, don't limit yourself to one or the other. First find what you are looking for, and then see if it works with your plan.
I wish you the best of luck!
Prudential Florida Realty
Even with bank owned, the lender will take several offers into consideration before accepting a contract.
An all cash offer with no continencies is what they like.
Those that are on the HUD approved condo list will not be a problem.
Also if you have half the money to put down you may be able to find a credit union or some lenders (few and far between) to finance your condo.
I wouldn't waste time on a short sale, unless it has already been approved as far as the price with a previous buyer that backed out. Otherwise the asking price may be "ficticious" and you hope you're going to get a good deal when the bank gives a counteroffer at or near full market price. Can't wait until the day when the lender sets the asking price so there is no disappointment or confusion on pricing.
As you may note, all the answers below state that short sales are slow, take 6 months and yada, yada..
This the reason that you should complete your due diligence and find a Realtor that understands what you are looking for and has experience in these transacitons. There is a process and it has to be followed. As anything else in the world, experience is what you need.
Due diligence is the key to any transaction, find that SFR or experienced Realtor to help you find what you are looking for.
The first thing you need to do is selct an agent ot work with as both are tricky propositions.
Short Sales can take up ton 6 months and usually end without a sale.
Foreclosures are already bank owned and can be sold quickly as the bank wants to get rid of its inventory.
Then there are all the hurdles dfepending on the bank or government agency that owns the property.
then there is the financial stabikity of the association if its a condo and ......
If you decide Greater Fort Myers area of the Southewest of Florida, call me 239-246-6639 or e-mail me at firstname.lastname@example.org I am happy to advise and represent you.
Southern Premier Realty
Debra Albert, PA
Coldwell Banker Residential
My name is Sophia Cagan and I am a Real Estate agent in the Coral Springs, Florida area. I also live in Coral Springs and would be happy to go over any questions you have regarding your real estate needs.
Although a foreclosure might be easier to get (already owned by the bank) than a short sale (still owned by the seller) it depends on where in the short sale process the property is in. Does it have one lender (bank) or two lenders on it? This is a long process. The question is how much time do you have to purchase? Is this an investment property? Will you be living in the property?
Regular sales (non foreclosure and non short sales) are also great buys now.
Please contact me at # 754-246-0510 or email me (see below) and I would be happy to go over any of your real estate needs.
P.S. Also from New york!
5810 Coral Ridge Dr.
Coral Springs, Fl
cell # 754-246-0510
It's true... foreclosure purchases are faster and easier than short sale purchases. Although the short sale process is improving a bit... it's still a long, arduous process.
Make sure that the Real Estate professional that you work with has experience with these types of sales... that will also make your experience less frustrating and more positive.
REALTOR / Marketing Specialist
THE SERENA GROUP
Keller Williams Realty
In a short sale, the buyer and seller agree on the price and terms of the deal, now a third party, the seller's bank, becomes a decision maker too. The seller's agent should be well versed in the short sale process. Additionally, the seller's bank needs to be cooperating with short sale seller's. The buyer and buyer's agent have no control over the seller's bank or seller's agent. Thus the buyer can do everything correctly and by the book, yet be caught for weeks or months waiting for the seller's bank to look at their file.
Both properties will probably be "As Is."