Welcome to Triangle Real Estate Forum

Join this amazing group of people and start discussing what you like.

What is a short sale?

Discussion in 'Affordable Housing' started by Good Wife, Sep 10, 2012.

  1. Good Wife

    Good Wife TREF Member

    Jul 1, 2012
    13
    5
    3
    #1 Good Wife, Sep 10, 2012
    Last edited by a moderator: Aug 12, 2013
    I hope I am putting this in the right place.
    We are looking at a home that our agent told us is a "short sale." It is also needing a lot of work like updates but also many repairs.
    We need to move by the end of November, because our lease is up, and month to month is a 50% rental premium which we really don't want to pay. How does a short sale work? Our agent says it can take longer to close because of the bank. Can we get the house before our lease expires and we are month to month?

    (Moderation note: Moved to Short Sales and Foreclosures forum.)
     
  2. Chaz

    Chaz TREF Member

    Jul 1, 2012
    5
    5
    3
    In a short sale, the seller is asking the bank to let you receive clear title even if there is no enough money in the transaction to pay off the loan balance.
     
    Morrisville Mark likes this.
  3. Morrisville Mark

    Morrisville Mark TREF Member

    Sep 7, 2012
    15
    6
    3
    Good Wife,
    You need to talk to your agent and really press the fact that your lease end is rushing at you.
    Short sales are famous for taking a long time to close, maybe several months, and there is little your agent can do to force a quick closing.
     
  4. The Turk

    The Turk TREF Member

    Sep 7, 2012
    15
    14
    3
    I was told that the short sale bank can ignore the contract and pick another contract if they like it better.
    Is it true?
     
  5. adele

    adele Knows the Ropes

    Jun 9, 2012
    48
    18
    8
    really? why would the bank be able to do this? that hardly seems fair.
     
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
  6. Short Sale in Cary

    Short Sale in Cary TREF Member

    Sep 15, 2012
    2
    1
    3
    Think how much money the bank is losing on the short sale. They don't have to allow the short sale at all. Buyers are smart to be careful about getting into a short sale, in my opinion. We did a short sale in Cary, and I know it had to be a nightmare for the buyers who finally got our home. It took 5 months, too.
     
    The Turk likes this.
  7. The Turk

    The Turk TREF Member

    Sep 7, 2012
    15
    14
    3
    Ouch. 5 months to sell a house. How do people plan their lives? And so the bank is losing money in a short sale. Shouldn't a contract be a contract?
     
    adele likes this.
  8. adele

    adele Knows the Ropes

    Jun 9, 2012
    48
    18
    8
    i'm sorry you had to sell with a short sale. i hope it wasn't too much of a nightmare for you.:(
     
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
  9. adele

    adele Knows the Ropes

    Jun 9, 2012
    48
    18
    8
    my thoughts too. a contract is a contract to me. and how can people plan their lives? :confused:
     
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
  10. Zappa

    Zappa TREF Member

    Jun 11, 2012
    18
    7
    3
    My brother and his wife were hung out for 7 months, on a short sale that never closed. The bank foreclosed on the house while they were waiting and they wasted all that time. This was in 2009 but I wouldn't go near one today.
     
  11. adele

    adele Knows the Ropes

    Jun 9, 2012
    48
    18
    8
    wow zappa. just wow. :mad:
     
    Zappa likes this.
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
  12. Zappa

    Zappa TREF Member

    Jun 11, 2012
    18
    7
    3
    Worse yet, they were paying extra month-to-month rent for the last 4 months, and then for 3 more months until they could get a house. $$$$
     
  13. adele

    adele Knows the Ropes

    Jun 9, 2012
    48
    18
    8
    adding insult to injury. :mad:
     
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
  14. Zappa

    Zappa TREF Member

    Jun 11, 2012
    18
    7
    3
    It really was. And they passed up a few other nice homes that came on the market and sold while they were waiting.
     
  15. NC4ME

    NC4ME TREF Member

    Sep 7, 2012
    3
    2
    3
    We spoke with a real estate attorney who told us that we could not make solid plans if we try to buy a short sale. The banks are in control of the timing. We will be looking for a home in Raleigh, and we will probably not even consider a short sale. We have small kids and we want a smooth transaction.
     
    Chuck Finley likes this.
  16. Ronnie

    Ronnie TREF Member

    Jun 17, 2012
    22
    10
    3
    Now banks are supposed to give an answer quicker, I thought.
     
  17. Chuck Finley

    Chuck Finley Poster to the Stars

    Jul 27, 2013
    35
    25
    18
    I think short sales are getting harder. Banks see that prices have increased and now they are not willing to write off as many losses on short sales. Short sales take just as long as they ever did.
     
    adele likes this.
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
  18. adele

    adele Knows the Ropes

    Jun 9, 2012
    48
    18
    8

    That is what our real estate agent told us. And there seem to be fewer short sales available in Cary. Why bother with short sales when there are good homes on the market without all the drama?
     
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
  19. Jammer

    Jammer TREF Member

    Jul 1, 2012
    17
    7
    3
    We looked at 5 short sale homes. Maybe it was our budget, but most of them seemed overpriced when we thought how much work, and cash, they needed to be nice.
     
  20. Avril

    Avril TREF Member

    Jul 1, 2012
    9
    6
    3
    We got tangled up in a short sale in Apex two years ago for 7 months, and couldn't get it bought. What a circus! My husband says never again, and I agree.
     
    Jammer and adele like this.

Share This Page