Part 1: What is a Short Sale?
More and more of the homes in the Atlanta real estate market are being sold as “short sales”. It’s important to know what that actually means to you the Atlanta buyer, and to the seller of the home.
When a home is being sold as a short sale, it is being sold for below the amount the current seller owes o
n the property and the seller does not have the money to make up the difference at closing. They are selling “short” of what is owed on the property. There are many different reasons a homeowner might find themselves in this situation, but this process can only happen if they have a willing buyer, the homeowner and the lender to approve the amount being paid for the home.
A short sale and a foreclosure are different. In a foreclosure, the lender has taken back the property and is selling it themselves or through an agent. The lender might have done repairs on the property and if so, will be asking a higher price for the property to help them recoup any losses they might have incurred.
When you find a property that is listed for a certain price, most people choose to offer less for the property. If the homeowner agrees to your price, the contract must still be sent to the lender for approval. This can take 2 to 4 months of analysis and final decision from all interested parties. Can you wait???
