Buying A Northern Virginia Short Sale

Buying A Northern Virginia Short Sale

Below is a graph to compare Short Sales vs The Market. With this graph, you can see exactly what each type is selling for in comparison to the list price. Just put you mouse over the graph and it will show you what percent of list price each type of property is selling for.

  • Have you been told you should not even look at, much less try to BUY short sales?

  • Have you been told that short sales never happen?

  • Have you been led to believe short sales are impossible and a waste of your time? 

  • Have you been discouraged by others about trying to buy a short sale property?

Buying a short sale property can be the best way to get the best deal!  There is a lot of fear that surrounds short sale properties, much of it is put out there by uneducated real estate professionals and lenders.  Because it is unpredictable and there is no guarantee that the transaction will go through, some will try to discourage you.

The truth is that short sales ARE harder than a normal real estate transaction.  Because of this, many agents and lenders routinely talk buyers out of looking at or pursuing a short sale property.  This is a disservice to you if you are not under strict time constraints and are flexible.  While the buyer and seller negotiate and sign the contract, there is a clause put in that the contract is dependent upon bank approval. 

You should not go into a short sale if you have to be moved into a home within a month.  We recommend you plan on allowing two months for the transaction to go through.  Do they always take that long?  No!  However, you need to set your expectations correctly going in and be committed to seeing things through.  You should not be upset if there is no quick response from the bank.  This does not mean it will not be approved.  If you can not reasonably wait 60 days to know for sure that the bank (or banks, as is commonly the case) is going to release the liens of the seller, you should not try to buy a short sale.

We've seen answers from banks come in within a week of submitting an offer.  At the same time, we've seen it take a month for the bank to even assign a loss mitigation specialist after they have received the contract.  A lot of it depends on the case load of the loss mitigation department of the particular bank as well as their procedures.  The biggest thing to remember is that short sales are not routine and predictable...and no two are alike, even with the same bank.

We see short sales as the perfect scenario for getting a great Northern Virginia real estate bargain.  Why?  Because when the lender is evaluating whether to allow the lien release, what is owed by the seller is irrelevant.  What matters is the fair market value of the home.  Most lenders will take a net amount that is a reasonable amount under fair market value at this point.  That is because they will be saving a tremendous amount on the foreclosure process if they let the home be sold rather than having to foreclose.  In this environment no bank wants another home on their books.  At the same time, they are more than willing to foreclose if the short sale contract is not reasonable and within their margin of acceptance. 

We love helping buyers with short sale properties.  It is very rewarding, because it's a win for the buyer and a win for the seller.  For the buyer it is much less risky than a foreclosure property, and often a better deal.

We will help you with any short sale property in the entire Northern Virginia area!!

Contact Information

Photo of Jamie S. Brooks  Real Estate
Jamie S. Brooks
United Real Estate
10780 Parkridge Blvd.
Reston VA 20191
Office: 703-665-3544
Cell: 703-901-3101
Fax: 703-430-1821