It’s definitely a “buyer’s market” right now, and every buyer wants a deal! Deals are certainly available and most of them can be found as a short sale or a foreclosure. But what is the difference between the two, and which is best for you?
A short sale happens when the lender is shorted on a mortgage and in order to make up for that default, the lender is willing to accept less than the actual amount due. With short sales, the lenders approve all purchase offers.
Lenders are often letting short sale homes go from 10-20% less than their current market value. Not at all basing their decisions on the original purchase price. The downside is that short sales take some time to negotiate with the bank. This process could take a few months, so short sales are great for people that are not looking to close on a property right away.
Foreclosures or bank owned properties are often sold at a greater discount than short sales and are ideal for people with larger down payments. Foreclosures are perfect for investors, and the condition of the home should be less important to a buyer wishing to purchase a bank owned property. Because there is no owner involved in the sale, it is possible that the property would need more updates and repairs than a short sale.
Both present good investment opportunities, but it is important to be patient with your purchase. Negotiating with lenders takes time, but if you wait it out you could get your dream home at a dream price!
Murrells Inlet | Georgetown County
Contact Michael King about Creekside Cottages. Located in the heart of this historic fishing village is the site of Creekside Cottages, a comfortable, charming neighborhood of gorgous homes built in the infamous Lowcountry seaside architectural style. Only a stroll away from a wealth of restauran...
Search MLS: Creekside Cottages
Surfside Beach Club
Surfside Area | Surfside Triangle 544 To Glenns Bay
Contact Michael King about Surfside Beach Club
. Surfside Beach is located on the Atlantic Ocean just four miles south of Myrtle Beach. With two miles of unspoiled beach, excellent service, and temperate climates, Surfside Beach is a popular place to vacation, relocate, and retire.