While the number of short sales has surged in recent years, closing on such transactions still poses plenty of challenges along the way that can threaten to derail the deal. Negotiations remain a sticking point in these transactions because sellers can agree to any amount on a home sale but it’s the lender who ultimately has the final say. Compounding the issue, many lenders also are still reluctant to even discuss a short sale with a seller until a purchase contract is in place. Another big hurdle agents report with short sales is that once lenders do approve a short sale, they tend to require it to close within a short time frame. But that short time may not provide enough time to the buyer to have the home examined by a home inspector. Some buyers, therefore, may opt to have an inspection done on the home prior to a lender’s approval of the short sale. However, if the lender rejects the offer, the buyer could lose the money they paid for any inspections. Buyers also could lose the upfront money they spent on credit reports, application fees, and the appraisal if the lender later drops out of the deal.
If you are looking to buy or sell a home in the Anderson or Greenville SC real estate areas, visit our website at www.SheilaNewtonTeam.com for tons of great information.
Sheila Newton Team
Berkshire Hathaway HomeServices -
C. Dan Joyner, Realtors