San Diego Realty – San Diego County is ripe with excellent Foreclosure and Short Sale properties that are waiting to be bought Short sales and foreclosures are great ways in which to get a deal on a house in San Diego or other San Diego Realty, but you need to understand what to watch for and what you should watch out for.
Short Sales take place whenever a bank allows a house to be sold for less than what is still owed on the mortgage. In many cases, the lender will lose less money in a short sale transaction than if they were to let the home go into foreclosure. Since the lender must approve the sale, it’s important to make your offer as appealing as possible.
- It is important to be approved beforehand with a lender who is qualified. A pre-approval letter is something that you must have for short sales to demonstrate that you’re serious about what you’re purchasing
- Do not try to negotiate for repairs or ask for any special reports on the home It’s best to purchase the house “as is”.
- Offering a deposit of 2 to 3% of the offer price will catch the bank’s eye a lot more.
- Conventional loans or All Cash are the most appealing.
- A large Down Payment makes an attractive offer.
It is important to remain patient. Short Sales need to go through a lot of extra steps than a regular transaction, such as bank approval, so do not get too anxious if it takes a couple of months before an answer is received. Do not be afraid to place offers on several opportunities rather than focus on just one property. It’s never out of the question to make an offer on homes or condos that already have existing or even have already accepted offers.
A lot of the time the original offer will back out of the transaction for several factors that may occur during the length of time from their original offer and the Short Sale approval. Keep in mind that the best deals go first and if you see a good property, you should submit an offer with a qualified Real Estate Consultant ASAP.
