How does a Metro Detroit sheriff sale affect your short sale offer

A Metro Detroit Sheriff sale should not affect your short sale offer unless somebody other than the bank buys the property.

I had another agents client call me about this the other day.  He had an short sale offer in on a $800,000 Livingston County lake front property in the Pickney area.  It had been dragging on since August with an out of state bank.  He didn’t think there was much progress.

His agent couldn’t answer his questions.  So here is was my answer to them.

Here are the two scenarios:

1.) Somebody other than the bank buys it at the Metro Detroit sheriff sale.  If an person buys the home at the Michigan sheriff sale the bank is now out of the picture.  The homeowner can redeem the property for the the sheriff sale price.  So now if you are the buyer your price you offer needs to cover the sheriff sale price, the back taxes, the sales transfer tax, the title policy and the real estate commission.

BEWARE of trying to go behind the real estate agents back.  If you have a buyers contract or the seller has a listing contract one of you will be on the hook for the commissions.  So be sure that it can be done with paying all of the above.

How to prepare your home for sale

2.)  If the bank buys the property back you continue on trying to get the short sale done.  You know only have 6 months to get the deal completed.  After that it becomes a foreclosure and who knows how long they will take to get the foreclosure on the market.  So if the Metro Detroit sheriff sale take place and the bank owns it…. continue on.

Of course the third scenario you could always take the chance to drop the short sale and wait for the foreclosure.  But that is iffy.  Somebody else could buy it as a short sale or you could miss it come out when it comes out as a foreclosure.

These are my thoughts on how a Michigan sheriff sale affects a short sale offer.  I hope that guy gets his Livingston County waterfront property thru the short sale.

Search Metro Detroit real estate and Metro Detroit short sales

Moving to White Lake Michigan

5 Best Lakes in Waterford Michigan!

Plymouth MI home selling tips – appraisal issues

Beacon Estate Subdivision Plymouth Michigan

Election Day Facts!

Michigan Home buyer bonus

 

16 years of experience and full time Russ Ravary

 

 

 

 

 

Lakefront homes for sale in Commerce MI

 

 

 

 

Posted in Buyer Tips, First time home buyers, Foreclosures, investment properties, landlord Tagged with:

Search Homes

Untitled

 

The data relating to real estate for sale on this website comes in part from the IDX program of Realcomp. Real estate listings held by brokerage firms other than Keller Williams Realty Commerce Market Center are marked with the IDX logo and detailed information about them includes the name of the listing brokers.


All information deemed reliable but not guaranteed and should be independently verified. All properties are subject to prior sale, change or withdrawal. Neither listing broker(s) nor Keller Williams Realty Commerce Market Center shall be responsible for any typographical errors, misinformation, misprints and shall be held totally harmless. IDX information is provided exclusively for consumers' personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.