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How Do Short Sales Work?
Manage episode 161203524 series 1180011
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I’m asked quite often about short sales, so I’d like to discuss them with you today.
A short sale is what happens when a homeowner or a seller owes more money on the home they are selling than what a buyer would potentially pay for it.
If, for instance, a seller owes $400,000 on their home but is looking to sell it for around $300,000, they would be considered upside-down on the property. A short sale would take place when they notify a Realtor that they’re looking sell, the house hits the market, and the seller is fully aware that they will have to negotiate with their current mortgage company to allow them to move on from the property after they find a buyer willing to pay fair market value.
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A short sale happens when a seller owes more on their home than what it’s worth.
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This is a very brief summary of a short sale, so if you’re finding yourself interested in the idea of a short sale while you’re searching for a home, please give me a call or send me an email for a more in-depth explanation about what kinds of control you do and do not have as a purchaser. I hope to talk to you soon!
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