A cash offer allows you to changes the terms and conditions of your offer such as:
No inspection contingency
These options can have a material value to the seller, depending on their situation. Since the 'real' seller in a short sale is the bank/investor, your offer can be presented in economic terms that will have persuasion..
If you don't want the house, go ahead and place a CASH offer that is 60% of fair market value...CASH! Then you will realize what I'm talking about. Statistically,in Florida, short sales are sold at 15% less than traditional sales....after waiting 6 to 48 months to close....and only 30% actually close as a short sale. (and they are over 80% cash purchases.)
Best of Success to you,
Annette Lawrence, Broker/Associate
Remax Realtec Group, Palm Harbor
Have your Realtor do a Comparative Market Analysis (CMA) on the property using Sold comps within a 1 mile radius of the property (the closer, the better) that have sold within the last 3 months. This will give you market value of the property. Use this as the basis for your offer. An all cash offer will be more desirable than a financed offer to the seller but other factors will be in play too (such as length of escrow, etc.).
Are you asking if the price of a given house will be different (i.e., "less") if
you pay cash than if you obtained a Mortgage? In most cases, that won't be true
-- from the Sellers' perspective, on the day of the Closing, it is all "cash".
On the other hand, if you and another prospective buyer offer the same price for a given
house, the buyer paying cash may have an advantage over the buyer obtaining a mortgage.
Was that what your question was?
This House is currently Listed as a Short Sale for $249,900. The status shows as "Active Short Sale Contingent", if you do not know this term feel free to call me at 209.204.3963 and we can discuss this term and house.
Indalecio "Andy" Del Real