Buying Resale Homes Vs. Buying Foreclosures or Short sales

As a Buyer’s Agent I am finding that most all buyers in today’s market want a DEAL! They start out wanting to buy a foreclosure or short sale because they have all heard through the media what great deals they can get that way. I try to explain to them that both foreclosures and short sales may result in long delays before an actual closing can occur. If you are willing to wait, that is fine, but if not, be prepared to wait an average of 4 to 6 months on short sales and possibly that long on a foreclosure.

As an example, I have two clients who submitted offers in early June on short sales and we still have not closed! One we have a verbal acceptance on and are just waiting on a signed contract from the bank and the other one is still in negotiation.

Buyers, do you realize that many resale homes have been drastically reduced because their sellers have motivations to sell like job transfers, divorces, health issues, or retirement? You can get some great deals that way instead of putting yourself through the hassle of foreclosures and short sales.

Buying Resale Homes Vs. Buying Foreclosures or Short sales

For example, I have some clients who currently live overseas, but expect to retire in a couple of years. They had heard about the huge price reductions that were occurring in the high end homes, so they came into town to find one where they could save $200-$300k on a home that they could retire to. We found a corporate relocation listing that had sold for 1.2 million in 2003 in a beautiful golf course community and we closed in the $700’s because of the combination of the market and the motivation of the relo company to help their seller with the price reduction loss. My clients are thrilled and so was the seller who now gets to move on. The entire process took less than a month from start to finish and no hassles!

So, please consider existing re-sale homes when buying instead of only asking to see foreclosures and short sales and find your GREAT DEAL!

Buying Resale Homes Vs. Buying Foreclosures or Short sales

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