You have received the answer to your question. If you are looking to buy a home that is a short sale, you should realize that it may not always be the best buy around. Sometimes it takes days for the bank to accept the offer. You should make sure you work with an experienced agent . You should also make sure that the home that you are currently staying in is availble for you ., incase there is a delay in settlement.

If you are a seller thinking of a short sale, hire an experienced agent who will guide you through the maze of pap er work.

Cruz,

We blog a lot about short sales. On the last blog entry I did, I gave a short definition that you may find helpful.
Read the 2nd blog on this page: http://www.philadelphiarealestatevoice.com/ .

Here are 3 other posts on Short Sales that may give you insight as well:
http://www.philadelphiarealestatevoice.com/channels/home_sel…

Hope this helps!

A short sale involves an owner in financial distress that needs to sell their home and is also "upside down" in their mortg. The definition of "upside down" would be, having a mortg. of $125,000 and having the market value come in at around $100,000. They may be several months behind in their mortg. pmts. and are overwhelmed with the rest of their bills, therefore unable to catch up with the pmts. Before a lender will consider a short sale, they must see a track record of pmt. default. The owner also needs to submit a hardship letter for review. Short sales tend to take several months for approval. So if you are a seller, you are in for a roller coaster ride. But keep your chin up. Mortg. co's. will most likely accept the short sale and forgive you the rest of the debt, rather then have to go through the foreclosure process, which would be the next step. If you are the buyer, you will need patience and not be in a hurry to move in.

Cruz, you have already received alot of answers so I'm not going to define it again. I just wanted to add that the banks or loan mitigator requires alot of paperwork. If you owe more on your home than it's currently worth, contact me and we can discuss your options. You are in the area that I service. If you are looking at a home that is being advertised as a short sale, just do your homework and make sure the home is worth what you are willing to pay for it, then go for it. Be prepared for a long response time - could be a couple to a few months. Hope all these responses have helped you understand a bit more. If not, contact me.

A Short Sale is when the property is sold and the lender agrees to accept a discounted payoff, meaning the lender will release the lien secured to the property upon receipt of less money that is actually owed. This allows the homeowner to avoid foreclosure on the property. Sellers must prove a hardship to the bank as to why they need a short sale. The lender will have final approval of the sale price and pay commission fees. Sellers can be responsible for the difference unless the bank agrees to forgive the dept.

Good morning,
A Short sale is a sale that can take place before the home goes into foreclosure. The amount of time it takes to get an answer back from the bank to see if they will accept the offer can take some time but is usually worth the wait.
If you are considering buying a short sale I would look into hiring a facilitor, it will cost a little bit but they work directly with people inside the banks and have the right connections to get the deal done quickly.
If a home is to you and it's a short sale go for it. just take my advice and use a facilitor. I hope this helps.

A short sale is when the owner will be getting less money for the home than what is owed to the lender. ie - Let's say you owe $250K on your home and you need to move. You put it on the market and it is only worth $200K. If you get $200K for the home, you would pay the bank the entire amount, less the commission fees.

If you are going to be in a short sale, the bank must be involved and the seller should have something worked out with them. Either they accept the short sale and call it even or you would have to be responsible for the balance of the loan.

Hope that helps,

Terrence Charest, e-Pro