Short sale homes occur when the home is sold , and the seller doesn't have the funds to close the gap come time to sell. Short sales have been a popular type of distressed property sought out by bargain house hunters, but as the Boise Idaho market has been on the rebound, our inventory of short sale homes and foreclosures have been decreasing, which is a good thing. However, that's not to say short sale homes and foreclosures have disappeared or that we won't see more of them simply as a natural result of the business. These types of Idaho homes can still be a great buy for investors or first time home buyers who are looking to slip into home ownership for less.
There's nothing short about a short sale except the price. Short sale homes are notoriously time intensive, which is the first thing any prospective buyer should be aware of going forward. Though the process may be arduous, waiting for the lender to make its decision to accept or decline, it's a boon for the buyer since you'll get the home at a reduced price. And for the homeowner, having your home go through a short sale can be the only option left if you're looking for a way out when you owe more on the mortgage than what the house is worth. It's an unfortunate situation, but is a better alternative than going through a foreclosure.
Win Win Win
One of the best partnerships in the real estate industry can be between a prospective buyer looking to purchase a short sale home, the short sale homeowner and the lender. With all three partners working together, it can be a rewarding win-win-win situation. Here's how:
The homeowner escapes mortgage liability without facing bankruptcy.
The lender accepts a loss they feel is minimal and avoids the foreclosure process and the burden of carrying a unsalable property.
The buyer gets the property at a reduced price.
The Most Important Thing
As with any Idaho real estate transaction, the most important thing to do-particularly when buying a distressed property-is to draw upon the aid of a professional to provide objective guidance. Short sales are more complex pieces of work, thus buyer and seller both should seek out a specialist to deal with the issues.