Home Buying in 33065>Question Details

New Yorker, Home Seller in Coral Springs, FL

When looking to purchase ,is it easier to go bank owned than short sale or foreclosure? We are going to be looking for a condo in So.Fla.

Asked by New Yorker, Coral Springs, FL Thu Jul 1, 2010

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21
Better to buy a bank owned home.
1 vote Thank Flag Link Sun Jul 4, 2010
Keeping it simple go bank owned.
1 vote Thank Flag Link Sun Jul 4, 2010
Hi New Yorker,

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!

http://www.realtorsfr.org/
1 vote Thank Flag Link Thu Jul 1, 2010
Hello New Yorker,
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,
Nancy
1 vote Thank Flag Link Thu Jul 1, 2010
Bank-owned, foreclosure, and REO are all the same. Ownership has reverted to the lender.

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.
1 vote Thank Flag Link Thu Jul 1, 2010
Don Tepper, Real Estate Pro in Fairfax, VA
MVP'08
Contact
Great Donald! So, I guess your answer was in Short Sale mode !

( look at the date of the question )


:)
0 votes Thank Flag Link Fri Oct 15, 2010
A bank owned property is easier because at least they will give you a response within a reasonable time
period.
0 votes Thank Flag Link Fri Oct 15, 2010
In my experience, definitely easier to buy a bank owned. However make sure you make an appropriate offer as yours most likely will not be the only offer.
0 votes Thank Flag Link Fri Jul 9, 2010
When looking to purchase anything in this market, it is case by case. There still ARE PROPERTIES that are NOT distressed (short sales or foreclosures) that are bargins and available to you. There are approved short sales that can close in a reasonable time and foreclosures, if you don't mind a bidding war (at times) are there too. The buying landscape requires that you work with a well qualified local professional who knows the market and can guide you thru the process whatever it may be!

Debbie Albert, PA
Coldwell Banker Residential
Web Reference: http://www.ronanddebbie.net
0 votes Thank Flag Link Fri Jul 2, 2010
Dear New Yorker,

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
EWM Realtor
NAR Certified in Short Sales and Foreclosures
2000 Main Street
Weston, Florida
954-557-5993
0 votes Thank Flag Link Thu Jul 1, 2010
Hi New Yorker (from a former New Yorker)

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
betteabrams@aol.com
954-303-5158...
0 votes Thank Flag Link Thu Jul 1, 2010
You should take each one on a case by case basis. The most important thing, is to find an experienced Realtor who can guide you through the process. All Short Sales are not created equal.So much depends on the Lender, the negotiator, whether or not the paperwork has been submitted, etc. Some Short Sales are already approved, many are not.

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!
Stefanie Cohen
Prudential Florida Realty
954-547-9203
Scohen77@aol.com
0 votes Thank Flag Link Thu Jul 1, 2010
Bank owned may be the quicker, easier route to take. Short sales are a little iffy and could take too long to finalize.

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.
0 votes Thank Flag Link Thu Jul 1, 2010
If you're looking for a condo and you are hoping to find a lender who will give you a mortgage, it may be very difficult in many condo complexes. Some condos require ALL CASH to buy.

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.
0 votes Thank Flag Link Thu Jul 1, 2010
To buy bank owned property you need to be prepared ahead of time. Ask your realtor or if you don't have one you should get an agent first.
Forget short sales unless you can wait for a long time
0 votes Thank Flag Link Thu Jul 1, 2010
Hi New Yorker,

As you may note, all the answers below state that short sales are slow, take 6 months and yada, yada..

Not true.

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.
0 votes Thank Flag Link Thu Jul 1, 2010
Dear New Yorker

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 kevin@kevincloutier.com I am happy to advise and represent you.

Kevin Cloutier
Southern Premier Realty
0 votes Thank Flag Link Thu Jul 1, 2010
I can answer this from stats in St. Lucie County. Properties that are short sales and foreclosures are selling for lower prices than those that are not distressed properties. There are tremendous values in Port St. Lucie as we were one of the fastest growing and our prices are not BELOW the run up pricing and our inventory is down. We are stabelizing. That makes us a good buy!

Debra Albert, PA
Coldwell Banker Residential
Web Reference: http://www.ronanddebbie.net
0 votes Thank Flag Link Thu Jul 1, 2010
Hi There;

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!

Sophia Cagan
Coldwell Banker
5810 Coral Ridge Dr.
Coral Springs, Fl
sbcagan@yahoo.com
cell # 754-246-0510
0 votes Thank Flag Link Thu Jul 1, 2010
Greetings!

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.

Good luck!

Wendy Herndon
REALTOR / Marketing Specialist
THE SERENA GROUP
Keller Williams Realty
0 votes Thank Flag Link Thu Jul 1, 2010
It is definately easier to buy an REO (bank owned foreclosure) than a Short Sale. The banks our team deal with on REO give answers to offers in about 48 hours. The REO bank, listing agent, seller's agent and seller are the only parties involved. The buyer makes an offer to the bank, the bank makes a counter or accepts the offer. Done,

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."
0 votes Thank Flag Link Thu Jul 1, 2010
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