Bank Owned vs Short Sale

                                             Which is the best for you ?                      Home page

Free List of Bank Owned Properties

Advanced summary:  Bank Owned properties are the best to buy because you can get an answer much quicker
and they are usually bought well below the current market value. 
Short Sales can take up to 3-4 months just to get an answer to your offer and they are not priced higher because appraisals
are not normally done until after an offer is submitted

Bank Owned

These are properties that the bank or lender has taken ownership of usually through a foreclosure or deed in lieu of foreclosure

The banks have already had the property appraised based on its current "as is" condition 

They are usually priced at the bottom of the market to sell quickly

Occasionally the bank will do some repairs prior to putting on the market but usually sold "as is"

The banks will give an answer to your offer very quickly  which is a big plus

Banks have many addendums that you will need an experienced Realtor to explain to you

The best deals are usually buying a bank owned property

If you can pay cash and close fast  this will get you the best price        

Short Sales

These properties are still owned by the private families not the bank

The current mortgages on the home exceed what the property is worth

The current lenders will need to review the situation and determine if they are willing to take less than what is owed them

The current Sellers must sign the contract first and only if they believe it will be acceptable to their lender

The signed contract with an addendum stating that the contract is subject to their lenders approving it is then sent to the lenders

The lenders also require that the sellers have a valid financial hardship and proof of all their income and assets

Once the lender receives all the documentation and wishes to go forward they will order an appraisal or an opinion of value to
determine the current value of the property

The lender may not accept a short sale at any price or they may counter at a higher price or ask the sellers to contribute some
dollars toward the mortgages and closing

While you are waiting for your offer to be accepted by the lender other buyers can submit offers as well

Short Sales are very time consuming and difficult to get closed and most Realtors do not have enough experience
or knowledge in working with these

  Frank Filippelli    Email  frankf8836@aol.com  Office 407-869-0033 x124   Cell 407-448-1042