Comments on: buying home on long island (short sale)? http://www.longislandcoastalhomes.com/long-island-homes/buying-home-on-long-island-short-sale Your guide to homes in Long Island! Sat, 01 May 2010 02:55:59 -0500 http://wordpress.org/?v=2.8.3 hourly 1 By: Hollie from Ohio http://www.longislandcoastalhomes.com/long-island-homes/buying-home-on-long-island-short-sale/comment-page-1#comment-216 Hollie from Ohio Fri, 04 Sep 2009 10:08:59 +0000 http://www.longislandcoastalhomes.com/long-island-homes/buying-home-on-long-island-short-sale#comment-216 Before you put in an offer, you need to have your REA ask the listing agent if the short sale has been approved by the lender and if the listing price has been approved by the lender. Depending on the lender, they will not want to go more than 10% below what is owed on the note, so try to find out what is owed on the seller's mortgage. Listing agents can list a short sale 3 ways... 1. The home is priced just right (and is acceptable to the lender). 2. The home is priced way under market to attract potential buyers (but the lender would never approve). 3. The house is priced at full market value so if no offers come in the listing agent can use that to reduce the price in the future and get it accepted by the lender. Remember, short sales are subject to third party approval...the lender is already walking away with a loss, but they won't give the property away. They will not even respond if your offer isn't close to what they want - and the listing price doesn't always represent the amount the lender is willing to accept. Doing the above mentioned research with your realtor will help you decide what offer is best. Also, have your lender pull up some comparables. Figure what it will cost you to make the home move in ready (if it isn't already) then offer what the fair market value is minus repairs. If you offer lower, don't go more than 10% below comparative value or the lender will not accept the offer. After the lender approves the short sale package, they get an appraisal (BPO) on the property, so they will know what it is worth. If you really want the house and it's already listed at a great price, don't beat yourself up later if you think you couldve saved some money. If it enters your mind.. remember you got a great deal and don't dwell on it. Best of luck!<br><b>References : </b><br> Before you put in an offer, you need to have your REA ask the listing agent if the short sale has been approved by the lender and if the listing price has been approved by the lender. Depending on the lender, they will not want to go more than 10% below what is owed on the note, so try to find out what is owed on the seller’s mortgage.

Listing agents can list a short sale 3 ways… 1. The home is priced just right (and is acceptable to the lender). 2. The home is priced way under market to attract potential buyers (but the lender would never approve). 3. The house is priced at full market value so if no offers come in the listing agent can use that to reduce the price in the future and get it accepted by the lender.

Remember, short sales are subject to third party approval…the lender is already walking away with a loss, but they won’t give the property away. They will not even respond if your offer isn’t close to what they want – and the listing price doesn’t always represent the amount the lender is willing to accept.

Doing the above mentioned research with your realtor will help you decide what offer is best. Also, have your lender pull up some comparables. Figure what it will cost you to make the home move in ready (if it isn’t already) then offer what the fair market value is minus repairs. If you offer lower, don’t go more than 10% below comparative value or the lender will not accept the offer. After the lender approves the short sale package, they get an appraisal (BPO) on the property, so they will know what it is worth.

If you really want the house and it’s already listed at a great price, don’t beat yourself up later if you think you couldve saved some money. If it enters your mind.. remember you got a great deal and don’t dwell on it. Best of luck!
References :

]]> By: 1 http://www.longislandcoastalhomes.com/long-island-homes/buying-home-on-long-island-short-sale/comment-page-1#comment-215 1 Fri, 04 Sep 2009 09:49:59 +0000 http://www.longislandcoastalhomes.com/long-island-homes/buying-home-on-long-island-short-sale#comment-215 yes it will.<br><b>References : </b><br> yes it will.
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]]> By: Worldly25 http://www.longislandcoastalhomes.com/long-island-homes/buying-home-on-long-island-short-sale/comment-page-1#comment-214 Worldly25 Fri, 04 Sep 2009 08:59:59 +0000 http://www.longislandcoastalhomes.com/long-island-homes/buying-home-on-long-island-short-sale#comment-214 Homes on Long Island get snapped up quickly. The lowest you can go is 400k but even at that someone else will offer full price. If you really want it offer the 439k.<br><b>References : </b><br> Homes on Long Island get snapped up quickly. The lowest you can go is 400k but even at that someone else will offer full price. If you really want it offer the 439k.
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