As a buyer, it is important to weigh your options before purchasing a home. Although short sales can get you a great home at an excellent discount price, these purchases aren’t for everyone. If you’re an investor with access to cash for improvements, short sales could be the basis of your new housing venture.
But, for the buyer looking for a home for family to live in, the entire short sale process could be more trouble than it’s worth. This is especially true if all of your savings will go into the purchase, leaving nothing available for home improvements.
Do you really know what you’re getting Into?
This rule used to apply specifically to foreclosed (Real Estate Owned, REO or Bank Owned) properties, it’s now very common with short sales, as well. It’s not surprising that people who are about to be evicted from their homes, don’t go out of their way to leave the home in beautiful condition. The six month old pictures taken by the listing agent no longer reflect the current condition of the property. These are the pictures snapped back when the owner thought they would be able to save their home somehow.
The condition the house is in depends on whether or not the property was occupied when the short sale took place. If the sellers still reside in the home, there is a great chance it will be in livable condition, depending on the way they like to live. If it’s a vacant property, the buyer may be in a world of trouble. It’s not unheard of for these sellers to take anything and everything they can on the way out. They have been known to take windows, doors, sinks, toilets, fixtures, moldings, cabinets… You name it, it’s been taken during the vacating process.
Vacant properties can also come with other problems. Without normal maintenance and TLC, property structures can begin to crumble. It is not common for these homes to be taken over by insects, pets, mold, and sometimes homeless people. The plumbing begins to rust, due to non-usage. Wiring issues also begin to arise. But, with non-short sales, sellers tend to take pride in maintaining the property until the sell if finalized, even after they vacate.
Sellers are human beings.
It would be nice if short sale sellers could get a little empathy. As the buyer, try to remember that your amazing deal is the seller’s lost dream. These sellers are not bad people. They are just people who have come into some bad luck (job layoffs, expensive divorce, long-term illness, death of a supporting spouse, etc…), which caused them to get behind on their mortgage payments.
Keep in mind that these sellers are desperate to keep a little of their dignity in tact while they attempt to move on with their lives. Don’t take advantage of that fact. They are in a rush to close the deal before the bank completes the foreclosure process. That leaves them very little room to negotiate. Be sympathetic to the situation the sellers are in. This will help keep positive karma coming your way.
Get Assistance
As a buyer, you need to be sure that this is the right investment for you. If you have any concerns, contact your Realtor for assistance. Just remember that if it seems too good to be true, there’s a large possibility that it is.
This guest blog was provided by Linda Hare a Satellite Beach real estate agent who knows that many home buyers are looking for a great deal in today’s market and she makes it easy for you to find fantastic deals on Indialantic real estate in the Melbourne FL real estate market.
