Foreclosures

Due to recent market changes, there are an abundance of foreclosed homes on the market. Also referred to as REOs, Bank Owned, Corporate Owned, HUD, these homes have completed the foreclosure process. The previous owner no longer has any claim to the property. They are ready for immediate sale and depending on condition and price are seeing a lot of competition amongst buyers.

Foreclosed properties are the most popular amongst buyers.

Short Sales

A short sale is a listing in which the owner is trying to sell the property PRE-FORECLOSURE, for less than is currently owed on the property. The seller in this situation is asking the bank to take a loss on the property and is required to prove a hardship. There are more than one type of short sale. Some short sales are pre-approved, in which the bank is aware of the sale and has authorized the sale in advance.

Other short sales are being negotiated by the owner and listing agent or a short sale company. These sales may or may not go through and can take anywhere from 3 weeks to 6 months to negotiate. Banks are often willing to take a loss on a property pre-foreclosure to save the cost of foreclosure. However, the bank will ensure they are accepting close to fair market value for the property.

Short sales are a great option if a buyer does not have a particular time frame in which they need to get into a home.