Negotiation is often required in order to finalize a short sale, which makes it extra important for buyer and seller alike to trust their transaction to an expert like The Short Sale Gal, Kristine Zelazo. So in today’s article, we’ll discuss the art of negotiating a short sale and how to know if negotiation will be necessary.
Why Do You Need to Negotiate a Short Sale?
Short sales can be rather tricky, especially when it comes to negotiation. In the case of a short sale, the lender is agreeing to sell the property for a sum that’s less than what’s owed on the mortgage loan.
In some cases, the lender does actually lose money while in other cases, the lender doesn’t lose out per se, as the amount repaid on a mortgage loan far exceeds the amount borrowed due to the interest. This can play a major factor when it comes to how much the lender is willing to sell the property for.
For this reason, it’s important to have an experienced negotiator who can work with the bank to negotiate a favorable price on the property. The lender must weigh a number of factors when selling the property, such as the amount owed on the mortgage, the condition and age of the home, the current real estate market conditions, the location (and desirability of that location) and even the number of short sale properties and foreclosures that the lender is currently handling. All of these factors can impact negotiations and ultimately, the price that the bank is willing to accept for the short sale property.
Negotiating a Short Sale with Property Liens
Negotiating a short sale with liens against the property can be very tricky. This is also true of properties that have multiple lenders involved, as you’ll have multiple individuals who wish to get paid, with a finite amount of funds available to go around. Of course, each lender or lien holder wants to get paid the full amount owed, so this can serve as a major stumbling block when it comes time to finalize the sale.
Liens and multiple lenders can delay the short sale process significantly, so it’s important to keep this in mind when considering buying a short sale home.
There are a number of unique steps and processes involved when buying a short sale property or when selling your home through a short sale instead of a traditional real estate transaction. You’ll have lots of advantages in this regard when you work with a short sale expert like Kristine Zelazo, better known as The Short Sale Gal.
Kristine works with both buyers and sellers and she is an experienced negotiator. So if you’re an investor seeking to get started in buying short sales and need a great mentor or wish to pursue a short sale transaction for the sale of your property, turn to Kristine Zelazo, the Short Sale Gal!
To get started with selling your home, simply complete the home pre-sale form to provide Kristine with additional information on the property in question. Questions? Call 800.664.0616, x802.