Short Sale Explained
Real estate and property selling is not an easy job. There are so many details to think about, different situations where you need to find the best solution, lots of paperwork, and legal issues. You may have heard of certain terms, but if you don’t know what they mean, we offer a little help.
If you have ever wondered what does short sale mean in real estate, we have the answers for you. To put it simply short sale means that the lender is willing to accept a smaller amount of money than that still owed for the house. Two conditions have to be met, for this to be possible. The first is that the owner of the house is far beyond in their payment, and can’t manage it. The other is that the market has weakened a little, and now the house is worth less than what’s left in the mortgage.
This is a complicated process that’s for sure. However, don’t be confused. The owner does not have to accept your offer, even if they have listed their house as a short sale. Negotiation is the key. This is why it is important to know what does short sale means in real estate, and also be aware that not everybody sells their house this way because they want to get rid of it as fast as possible. So, it can actually be a good option, for both parties.
Any buying process is complicated. You have a lot of planning to do, and getting all the info before making a decision. But now, you know a bit more about short sales, and you can see if it is a good option for you.