|
Each state handles short sale real estate transactions differently. How yours does it is up to you to discover, but here's a general idea of what you can expect: In some states once a seller has decided on which property they will decide to accept and send to the bank for approval an escrow is open and buyer earnest deposit funds are deposited. This, however, is usually not the way that Southern California real estate transactions go as they pertain to short sales. In Southern California, escrows are rarely open when the seller accepts an offer. If a buyer does not have the money to deposit, the escrow is not open. This can be both a good thing and a bad thing for the market when considering to buy a Laguna Beach short sale home. Good for the Market It encourages buyers to keep making offers. See, a buyer can make an offer on any short sale and it doesn't cost them any money whatsover. A simple copy of an earnest depoist check and pre-qualification letter from a bank is the only thing that is required. Funds are never deposited into escrow until the bank formally approves the short sale. Since there is no financial risk you will see a lot of buyers making offers on multiple properties. If you are a real estate investor hoping to land a short sale, then the world is basically your oyster. Bad for the Market This can be frustrating to the seller since most short sales take anywhere from 60 to 120 days to complete. Buyers generally get tired of waiting for approval and seek out another short sale property. This behavior creates a large number of cancellations in the California short sale market and frustrates sellers everywhere. Of course, the flip side of this is that approved short sales are then advertised after the buyer backs out since the bank has already approved a price. All that is then needed is a buyer, who is committed to closing the deal. Approved short sales will typically take a much shorter waiting time since the bank has already processed the seller's short sale packet. While no one ever wants to be on the selling end of a short sale, the responsible real estate investor can stand to profit greatly from the whole process. Many homes in the Southern California area, for instance, sell at around half of what they are actually worth. Since the market is so cyclical, if you can buy in now, you are pretty much guaranteed long term profits. And with the housing market in a greater crisis than it has ever experienced, those profits can be some of the most rewarding of any investment you'll ever make. So don't delay, make your short sale offer today.
Check out the latest Laguna Beach Real Estate For Sale. There are also many Laguna Beach Short Sales For Sale.
|
