Jump to content

What is the deal with short sales?


Mila
 Share

Recommended Posts

I found a house that is listed as a short sale. It is valued at 90k over the listing price. Does this mean that the house could sell for this much cheaper or is it very unlikely? 

A friend of mine and her husband are going to look at a house tomorrow that is listed as a short sale for the above discount. He is convinced that he could actually make money by buying it and they live in it for a bit and then sell it again. I am just not sure how this process works. Everything I heard says you should avoid short sales.

  • Like 1
Link to comment
Share on other sites

A short sale is basically a home owner who can't afford to pay off the remaining owed money on the mortgage so they try to strike up a deal with the bank to pass on the mortgage to someone else in order to avoid foreclosure. it can be a messy situation. I would never buy a short sale house!

  • Like 1
Link to comment
Share on other sites

If someone had their back against the wall and can't make payments on their house, they can try to negotiate a short sale with the bank and a buyer. I think short sales are great opportunities for those who are knowledgeable on how to handle them. Most home buyers are not which why it is not advised for first time home buyers. 

  • Like 1
Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

 Share

×
×
  • Create New...