| If you are aware of the present real estate market, it | | | | bank owned property, they might settle for the less |
| is natural that you must also have heard of the term | | | | than what is owned offer. Now this kind of a situation |
| short sale funding and the innumerable other terms | | | | is a win win situation for the bank and also the owner |
| that are related to short sales. These include back to | | | | as the foreclosure is prevented and at the same time, |
| back closings, short sale flips, transactional funding etc. | | | | there is no bad loan record in the books of the lender. |
| These have been the well discussed topics so as to | | | | Now these kinds of transactions have dominant in |
| how to legally and ethically flip short sales. A short sale | | | | today's real estate market. |
| is said to be when the person who has taken a | | | | With the increase in the popularity of sales |
| mortgage, owes more than he actually owns and to | | | | transactions the property owners and the bank are in |
| add to his worries, he is even late on his mortgage. So | | | | a profitable position. The investors help the owners and |
| now, if the seller wishes to sell the home and even the | | | | also make profits while doing so. These transactions |
| bank does not want to register a bad loan in its books, | | | | might take about 4 to 8 months but still are famous |
| then the bank must compromise and buy the | | | | because they involve a low risk factor than the liability. |
| mortgaged property at a price that is actually less than | | | | In the sale flips, transparency plays an important role |
| what is owned on the home. | | | | so that the transaction is legal and ethical. This can be |
| However if the bank realizes that more money can be | | | | achieved by the disclosure of the facts by the buyer. |
| net from the short sale, that if the foreclosure was | | | | He must disclose that his intentions are to the property |
| applied, and then they auction or sell the property as a | | | | immediately to a third party for a profit. |