Home Buying in Hopewell>Question Details

Deb, Home Buyer in Mercer country

I am looking at townhouse in hopewell nj and it is a short sales. I would like to offer 75,000 lower then

Asked by Deb, Mercer country Sat Feb 9, 2008

asking price, How desperate is the owner to sell and what is the process for a short sale from the buyer viewpoint

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Answers

5
Hi Deb,

This process is complicated and you need a buyer's agent to help you with it.

I would love to help you call me or e-mail me and we can get started.

Regards,
Joyce Begg
20 years of experience working for you!
609-737-1500 ext 203
Weidel Realtors
0 votes Thank Flag Link Wed Sep 8, 2010
Hi Deb,
Your question is a good one and is being asked by a lot of buyers looking for a good deal in real estate.
First, a short sale is a situation when the owner/seller has little or no equity in a home. This could be for several reasons. The bank or lender then takes over and is control of the offers on the property and all offers are subject to bank/lender approval.

Sometimes this takes months for an approval and you may or may not get the property. This is because the bank/lender may be in another state and there is little or no communication with the bank attorney during the process. The other problem is the mortgage rates fluctuate and may move higher that you expect. You can also lose out on governmental incentives like the $8,000 tax break that expires at the end of November 2009.

In my opinion, if you have an experienced Realtor who can negotiate the best terms in a good location, you will be better off because you can close sooner and be in the your property.

I have invested in properties all over the United States for years and can provide you with good advise from experience in this area. E-mail me at Wayne_Zelenak@yahoo.com, or call me at my office at 609-737-1500 x 262, or visit one of my websites at http://www.WayneZelenak.com
Web Reference: http://www.WayneZelenak.com
0 votes Thank Flag Link Sat Oct 10, 2009
Hello Deb, It is a common conclusion drawn by many potential home buyers that you can get a good deal in a short sale situation. That is not always the case. A short sale is one where the owner owes more on the property than the current market value. In many instances, the homeowner is not the decision maker. The offer to purchase may be submitted to the company who handles the details of the short sale. It is the company who will make a business decision whether to accept or reject the offer. Typically, you will not even get a counter offer. The decision is based on appraised value information, inspection information etc. Holding the property until a market value offer is obtained is not unusual. Good luck, Deb with your purchase, but if you are really serious about a purchase in Brandon Farms (which is where I assume you are looking), you might have better luck looking at all the units on the market and negotiating with an owner. If you would like some help in this regard, dont hesitate to give me a call, I will be happy to help you, Sue DeHaven, Weidel Realtors, 609-737-1500 ext.231 or email me at sdehaven@weidel.com
Web Reference: http://www.suedehaven.com
0 votes Thank Flag Link Sun Mar 9, 2008
My answer will be very similar to Diane's.
It isn't the owner's choice as to what offer to take, the decision is entirely in the bank's hands now. They are in the driver's seat with this deal. You should get some comps of that area and see where the townhouses have been selling. That will give you some gues as to where to make an offer that will be accepted. If you are using an agent, they will also be able to find out what recent sales were short sales, or not.
You should have your financing all arranged, after the bank gives approval, they often want to close quite quickly.
You should have a lawyer that iknow how to handle short sales. They can take care of all the details for you.
Good Luck
Sharon Kozinn
Web Reference: http://www.sharonkozinn.com
0 votes Thank Flag Link Sun Feb 10, 2008
In a short sale, it doesn't matter how desperate the seller is to sell; it is how desperate the bank is to take the offer and get rid of the house.

As a buyer, you have to write up an offer. Aside from the standard contract verbage, you have to write the verbage that tells the bank you understand it is a short sale and theoffer is contingent upon the bank's approval. Your agent or attorney can advise you to the exact wording.

Then, you wait for the bank's response to your offer. Once you get that you inspect and get your mortgage commitment if you need it. Your lender will also have to know it is a short sale because when the sellers' bank wants to close, they generally give you very little notice.

An experienced agent in short sales can help you through the whole process. That's just a synopsis of what to expect.

Good luck.
Web Reference: http://www.dianeglander.com
0 votes Thank Flag Link Sun Feb 10, 2008
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