First, what is a short sale? A short sale is opposite of what it sounds like.... a short sale does not take a short amount of time, it often take 3-6 months (or longer) from offer to close. A short sale is when the sellers mortgage holder is accepting less than full payoff of their mortgage in exchange for releasing the lien. But if you are long on patience, have an open time frame in which to purchase and are hoping to get a good deal, the short sale market may be a good choice for you.
There are several importants things to consider before entering the short sale market:
Know your market: Not every short sale property is a good deal. Sometimes the banks set the list price of the property and when doing so set a price higher than the true market value. It is important to know the values in the area and the condition of the property.
Work with an experienced agent: There are a lot of potential issues in trying to purchase a short sale and an experienced agent can help you navigate them. It is important to know how far along in the foreclosure process the property is and whether or not there are additional liens or encumbrances on the property that might prevent the sale.
Be prepared to be patient: The banks have been working to streamline their short sale processes, but it may take 3-6 months (or longer) to successfully purchase a short sale, and some of them may go to sheriff's sale before approval can be reached.
For additional information on short sales, foreclosures, homes for sale in Tulsa, visit my website at www.Tulsasrealestate.com.
Chinowth & Cohen Realtors