Typically short sales benefit both the Downtown San Diego Home Buyer and the current homeowner. The first benefits by getting a bargain and the second benefits by avoiding foreclosure. And although the name implies it, these sales are anything but short.
A short sale is when homes, including Downtown San Diego Condos, sell for less than the mortgages owed on them. During difficult housing markets, short sales and foreclosures usually increase.
A Downtown San Diego Seller usually decides to short sale their home when they are facing foreclosure. This option does less damage to their credit than a foreclosure.
The longest and most complicated process of the short sale is getting the bank's approval to sell the home for less than the mortgage amount. This makes the short sale the longest transaction to complete, even in the Downtown San Diego Real Estate market.
In general a foreclose takes a total of 5 weeks, a traditional home sale takes about 7 weeks and a short sale is usually longer than 10 weeks.
Another problem in completing the short sale is that banks are so busy, it usually takes them anywhere between 45 and 60 days to even acknowledge the paperwork and assign a negotiator to it. They then determine whether the value of the home and the sales price make sense.
If the bank considers the price needs to be higher, the buyer might agree to pay more or the seller might have to put in a few thousand dollars.
Contact a Downtown San Diego Realtor if you are considering a short sale for your current home.
For further information on any Downtown San Diego Condos contact:
Gregg Neuman
1-800-221-2210
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