| dered buying a home? Consider buying a short sale. | | | | from the lender, not the seller. |
| With a short sale, the homeowner will need to be in | | | | Always do your research first. Your real estate agent |
| default before the lender will consider a short sale. | | | | can find out who is in title, whether or not a foreclosure |
| With a typical short sale, the homeowner's lender is | | | | notice has been filed and how much is owed to the |
| accepting a smaller payoff to release the mortgage. A | | | | lender(s). This is important because it will help you to |
| short sale is also sometimes referred to as a | | | | determine how much to offer. If there are two loans, |
| "preforeclosure". It is an alternative to foreclosure and | | | | you will probably deal with a second mortgage lender. |
| bankruptcy proceedings. | | | | Keep in mind that short sales take more work and |
| Many investors purchase short sales in order to get a | | | | time. You will be in constant communication with both |
| home at a much lower price. However, just because a | | | | lender and seller. The lender will have numerous forms |
| property is listed with short sale terms do not mean | | | | for you to complete. Most of those forms will require |
| the lender will accept the buyer's offer, even if the | | | | the seller's signature. |
| seller does accept it. The seller's lender will be | | | | You can find a list of short sales (preforeclosures) on |
| considering many factors in deciding whether to | | | | many different websites. We include a section labeled |
| approve a short sale, including whether the seller is | | | | "Foreclosures" on our website. Within that section, you |
| deserving of a break, due to financial hardship caused | | | | will see the foreclosures status. Look for the word |
| by unforeseen circumstances such as layoffs, divorce | | | | "Preforeclosure". |
| or illness. The lender will also consider whether it would | | | | Buying a property on short sale can be frustrating and |
| be less costly to simply repossess the house, make | | | | time consuming. However, your hard work can pay off |
| any necessary repairs and sell it through a real estate | | | | in a home that's worth considerably more than you |
| agent. Just keep in mind that the final word comes | | | | paid for it! |