Forgive me but I am really stupid when it comes to the home buying process. FH and I saw a house on MLS that we liked and the price was low, when i called the realtor he said its a short sale and it could be a long process.... what exactly does this mean, and have any of you girls bought a house on a short sale?
jenturch
Posted:
Member since
Re: NWR: Short Sales
It means the seller is selling the house for less than the amount they owe on the mortgage.
Jen2525
Posted:
Member since
Re: NWR: Short Sales
Posted by jenturch
It means the seller is selling the house for less than the amount they owe on the mortgage.
and also keep in mind that when it comes time for the bank to approve on the house they could deny you the house because they think the house is offered at too low of a price.......and then you have to begin the process all over again.
bigsal
Posted:
Member since
Re: NWR: Short Sales
Basically in a Short Sale the seller walks away with nothing from the closing and the bank forgives them for the amount they owe on the property and you get to purchase the house for a really good price. However, based on the short sales that I know about -the process may take up to a year because the banks have to approve the package that the seller must complete. On many ocassions, the bank loses the sellers papers, or they issue three weeks to close (which is impossible!) and then the seller must resubmit the docs which go to a different bank rep and so forth and so on.
It is time consuming so you just have to be patient and know that it is all dependent on the bank-beware if the seller has a loan with Washington Mutual-they are the most difficult bank to work with based on my experience-but not impossible.
On the good side is that when you do get the house and you save a ton of money!
Be patient and good luck!
rebekahlw164
Posted:
Member since
Re: NWR: Short Sales
FH and I bought our house as a short sale about a year and a half ago. We put in the offer in early Aug. and didn't get the bank's approval and close until mid October. It was a long process and we were in the dark for a long time but it was well worth it. We were able to do some work to the house (FH is very handy) and it was recently appraised for over 40,000 more than we paid for it! If you have a good realtor, they should make the process pretty easy for you...thankfully that was my parents for us! Good luck!
