If you’re a real estate agent who lists and works with short sale homes, it’s important to know the ins and outs of the short sale process. When working with potential buyers, you should make sure to mention the benefits of buying a short sale home in real estate. These benefits can persuade potential buyers who may be on the fence about purchasing a short sale home.
They’re Often Below Market Price
Homeowners may sell their short sale homes below mortgage value or market price due to financial issues or a loss in home value. This is different from a foreclosure because, unlike in a foreclosure, the homeowner initiates the sale. Still, both short sales and foreclosures usually leave the home below market value, which is appealing to potential buyers.
They’re Often Fixer-Uppers
Every situation is different, but some homes that come out of the short sale process will need major repairs. These homes, with their low market prices and need for high maintenance, will be perfect targets for house flippers and people interested in DIY projects. These homes shouldn’t be difficult to sell to the right buyer; you just need to consider the audience for a particular home. Identify the community to consider what demographic might be looking to buy a fixer-upper home. These homes offer these buyers easy equity.
They Offer a Faster Transition Process
Because the homeowner begins the short sale process rather than the bank, short selling a house versus foreclosure can offer a more positive and an even quicker transition process. However, this depends on negotiations with the previous homeowner, their agent, and the bank or lender.
Now that you better understand the benefits of buying a short sale home in real estate, make sure to remember them while you’re working with potential buyers and listing short sale homes in the future.