How to bid on a short sale property

short sale charleston wv

Short sale properties can be a great source of income for investors, and a great deal for home buyers.

It’s important to keep in mind that a short sale is one where the bank has approved a loss on a current loan. They’re losing money, so they want to unload.

Generally the current owner is in a rough time, or wouldn’t be facing the loss of the property. Difficult times mean tremendous amounts of stress and emotional turmoil.

Managing relationships is always the key to any negotiation.

For the bank, a short sale is an unemotional transaction. An owner may be letting go of a property with great emotional significance.

You’ll have to take different approaches with every party to a short sale transaction to get the best result.

Data is on your side. Look up comps to get an accurate picture of the market, and seek out justifications for your offer prior to submitting a written bid.

In a short sale, you have to get agreement from the owner and the bank(s) involved on the purchase price and the terms.

Getting written permission from the owner to discuss terms with the bank can be really helpful, but check with a good lawyer to make sure you have the right documents before you ask the seller to sign anything that might violate WV law.

Your relationship skills are super important during this process. The bank will often require days, even weeks, to respond to offers and move forward. Often they request additional BPOs (Broker Price Opinions) or modify appraisals, and they sometimes like to involve different negotiators.

It can be intensely frustrating, so prepare yourself and don’t stress.

Get fully approved for any loan you plan to take long before you make an offer. Make sure your lender can close at the drop of a hat, because once the approval comes for the short sale transaction you need to be ready for escrow.

We secure properties via short sale, and we work with many investors and buyers who are looking for great deals on properties in the Charleston WV area.

Give us a call (304) 250-9336 or get in touch anytime to find out how we can help you!

Andrew McDavid

About Andrew McDavid

I have been buying houses for going on 4 years now. I love the process of buying a house and rehabbing it to make it new again. We buy ugly houses as well as pretty houses. We buy them as-is and we try to craft win-win situations for both us and the buyer. Contact us today. We'd love to talk to you about your house!

Get More Real Estate Market Info... Subscribe Below!

Learn more about us and find other resources on selling your house below. Like us, follow us, connect!

  • We never rent, sell, or share your info with anyone. It's not cool and we hate spam

  • This field is for validation purposes and should be left unchanged.
No comments yet.

Leave a Reply

Remodeling and Home Design