Are You A Good Short-Sale Buyer Candidate?
Considering the exponential growth in short sales and the potential for "bargain deals," many buyers today are interested in purchasing short-sale properties. Not all buyers are good short-sale candidates.
Please consider the following points before writing a short-sale offer:
- Are you in a position where you can wait thirty to sixty days for the lender's approval?
- Do you have a home to sell before you can purchase the short sale?
- Will you consider your agent feedback regarding, such things as, market value and contract contingencies?
- Do you understand that the lender will be making the final call on price and terms?
- Are you willing to consult an attorney regarding home inspections, earnest money, and the contingency period for thirdparty approval?
- Are you willing to enter into an exclusive buyer representation agreement and be responsible for compensation, should it not be paid by the seller's side?
These properties will likely be sold as-is, neither distressed sellers nor bank owners are likely to agree to make any repairs to the property. Will you have the funds to complete the repairs after the closing?
Buyer Short-Sale Checklist
Are you pre-approved? Yes No
Are you a cash buyer and willing to submit proof of funds? Yes No
Are you willing to make a reasonable offer? Yes No
Do you have a realistic expectations of the time-frame? Yes No
Can you be flexible on your closing date? Yes No
Will you lock in your interest rate thru the closing? Yes No
Are you willing to make the investment financially on the following to complete the transaction?
- Mortgage Application Yes No
- Inspections Yes No
- Attorney Fees Yes No