you put in an offer in on a Canton short sale or metro Detroit short sale doesn’t mean the deal is going to go thru. Even if the home seller has signed the purchase agreement it doesn’t matter.
Here are some of the hurdles that you face are:
1. The bank hires an appraiser to determine fair market value. So if you are offering too little they are not going to accept your offer. Sometimes they won’t even counter back. So my advice is don’t bid below the lowest comp in the area. They will usually accept offers at the low range of the comparables.
2. The seller won’t co-operate. Sometimes the seller really doesn’t care to sell the house. They sometimes are just trying to delay moving out of the house. Sometimes they are delaying the foreclosures process. If the seller doesn’t get the bank all the information they want the deal is not going thru.
3. The bank doesn’t agree that the house should be in a short sale. Sometimes the bank thinks the home owner makes too much money, or doesn’t have a financial hardship. Sometimes the homeowner is just trying to do a short sale so they can buy a bigger house, or to move out of a certain city.
4. There is a second mortgage on the home. This makes it harder to get a Metro Detroit short sale done. What happens in the short sale and foreclosure process is that the second mortgage holder doesn’t get anything. Sometimes the second mortgage company is very hard to deal with. Sometimes the second mortgage holder wants more money and refuses to give in.
5. You. Yes the buyer is one of the reasons why a Canton short sale may fail. So many homebuyers get tired of waiting. Some Metro Detroit short sales take 4, 5, or even 6 months to complete. Some metro Detroit home buyers get tired of waiting.
These are just a few of the reason why a short sale done. I always tell my clients to keep looking even after they put a short sale offer in because the house may never become yours. I would estimate that only 60% of all Metro Detroit short sales close.
My joke for the holiday season is:
The Supreme Court has ruled that they cannot have a nativity scene in Washington, D.C. This wasn’t for any religious reasons. They couldn’t find three wise men and a virgin. ~Jay Leno
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