In Port St Lucie, we’re all mostly familiar with what a short sale entails and some buyers decide that they’d rather stay away. However, when you’re in a crunch to buy a property and there doesn’t seem to be enough foreclosures or regular sales to look through, it may benefit you to consider a bank approved short sale.
While there is no official definition of a bank approved short sale, we generally define them as follows:
A property is casually said to be approved once a previous buyer has already made an offer and the seller’s lender came back accepting or rejecting that offer at a particular price.
Here is the common dilemma: You, as the buyer, are the first to make an offer on a short sale. The seller accepts your offer, and then it’s submitted to their lender. You wait … and wait … and wait. And after what seems like forever, the lender comes back saying that they want more money.
For example, the property is listed at $100,000. You offer $95,000. The seller accepts and submits to lender. Lender comes back and wants $105,000. You walk away from the deal.
Now a new buyer comes along and sees the property is “Back on Market” at $105,000. The notes say “bank approved short sale!” and we infer this to mean that a previous buyer was the guinea pig.
While it doesn’t mean that the lender is going to be fast at re-approving you as the new buyer, we can reasonably assume that the lender will probably accept your offer if you give them what they’re looking for (or really, really close to it).
Are you considering purchasing a property in Port St Lucie?
Do you have more questions about short sales?
Give me a call directly at 772-485-3214 or contact me by clicking this link and fill out a request.
Have you made an offer on a short sale before? What has been your experience – post your thoughts below.