There are numerous things to be confused about with short sales, but one thing right on top is the price the buyer sees advertised on the internet. In a regular sale, you can pretty much count on having to pay somewhere close/within a small percentage of that listed price. With a short sale, that initial list price may be just a guess on the part of the listing agent. Here is what can happen with the price of a short sale:
This scenario is not the case with every short sale, but it happens a lot of the time. The buyer should bear in mind that there are several factors that come into play with the final sales price of a short sale property. The bottom line price comes down to what the buyer is willing to pay and what the seller (the bank in this case) and all other parties involved are willing to agree to. If no buyer will pay the bank’s price, then it will go to foreclosure. I have seen it happen that the short sale price agreed to is lower than what the home sells for as a bank-owned property and vice versa.
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I love OC Real Estate. I have been in the field right here in Orange County, California for over 30 years and have lived in several of the great OC cities. Heck, I was born here! Let my unique insight and knowledge help you with your real estate transaction.
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