Sonoma County, California buyers–Avoiding 5 pitfalls of a Short-Sale
Top 5 Ways to Avoid a BAD Short-Sale!
- Marketing of the Property is Inept!—one photo taken from across the street at twilight is NOT
marketing and shows an inherent absence of a “Standard of care” to the Seller.
This can mean a couple of things—the seller REALLY DOES NOT want to sell and is
stalling or the AGENT doesn’t have a clue and is inept—either way NOT a
formulae for success
- Property Condition—selling a home is selling a home—Remember- a short-sale simply has
ONE major contingency—getting the bank to take less on the amount owed on the
property. That’s IT! Property should have curb appeal, interior staging or at
LEAST cleaning up, be accessible, have a lockbox and be desirable. If it is NOT
any of the above stay away!
- Agent’s thinking they can get a low ball offer accepted—we are seeing more and more
properties going for market value and ABOVE! The days of striking a great deal
with a bank either by REO or Short-Sale are over! The market has shifted.
Historically Short-Sales SELL for MOER than a bank REO or real estate owned.
- Avoid SCAMMING listing agents—“Sure, I can make your deal work. My seller has about
$20,000 in personal property he’d like for YOUR buyer to purchase!” This is
usually done to net the seller some money. Most lenders in a short-sale have
you sign an affidavit stating NO MONEY will be forthcoming to the Seller. This
is loan fraud! Pass on this property and stay out of Jail!
- BIG caveat—if three of these are present with a property purchase you NEED to use
the Default Contract—failure to do so is the big “F” word—FELONY—Owner
occupied home, in Default on their mortgage and an INVESTOR purchasing the
property. Be careful out there and use THE team for your real estate
purchases—Mike Kelly & Allison Norman of the “Kelly/Norman” Team of Keller
Williams Realty. And don’t forget to listen to the real estate hour, Sundays, 9
to 10am, PST at 1350AM,KSRO or streaming at www.KSRO.com