Orlando Short Sales
What exactly is a short sale? For anyone looking to purchase Orlando foreclosure homes, this is a good term to remember. A short sale takes place when a property is sold for less than what is owed on the mortgage and the lender who owns the underlying mortgage – or mortgages – accept less than the full payoff as a settlement. This allows the property to transfer to the buyer even though the lenders did not receive the full amount due. When banks and lenders allow for it, Orlando short sales provide a great opportunity to purchase a home.
For owners in danger of foreclosure, a short sale may be their only option if there is no chance of refinancing. This is tricky as banks are aware they will take a loss on the sale and will only approve a short sale to prevent an even greater loss because of foreclosure. In the current market climate the chance for Orlando short sales being approved is much greater than before. It is good to know that while a short sale can still adversely affect a seller’s credit, it is nothing in comparison to a foreclosure.
Buyers of Orlando short sales are able to consider properties at a heavily discounted price. The only word of caution is that the bank is not obligated to commit to a short sale, even after an offer is submitted. If a property indicates that it ‘needs lender approval’, then there is a possibility that a sale will not be approved. While any deposit will be returned, it does result in a loss of the buyer’s time.
A realtor can be very helpful in guiding you through successful Orlando short sales as the transaction requires cooperation from the bank, negotiating on a short timeline, as well as a successful marketing and sales plan. If you are interested in Orlando short sales, contact an expert at our Short Sale and Foreclosure Division to get started. |
