Saturday, July 30, 2011

Seller Advantages of Short Sale, Phoenix Properties and Buyer Advantage of Investing in a Short Sale

In the wake of home values falling due to the recent recession, there have been more Phoenix properties, from luxury homes in Arrowhead and Cave Creek being presented as short sales on the market than ever before.  You need to understand exactly what a short sale transaction is.  No matter what the name sounds like, a short sale does not mean that the process of purchasing the home will be short.  A short sale means that the sale price of the home price comes up short when compared to the amount still owed on the mortgage.  The list of seller advantages of short sale transactions is topped by the fact that it is a foreclosure alternative. 

 

In a short sale, the seller makes an agreement with the mortgage company to put the home immediately on the Phoenix properties real estate market at or below market value.  The idea is that instead of going through the process of foreclosure, the mortgage company will accept an amount less than the outstanding balance on the mortgage as a payoff of the debt.  A short sale is basically settled debt and the seller's credit will reflect that.  However, another of the seller advantages of short sale is that the negative effects on a credit record are less than those of foreclosure. 

 

Investing in a short sale has advantages for investors as well.  At the top of the list is price.  Phoenix properties up for short sale can help buyers get their dream property on one of the over 200 golf courses in the Valley of the Sun or into the precise location in urban Phoenix, such as near University Park, they want at a bargain price.  Prices for short sales tend to be lower other comparable homes in the area.  However, one of the buyer and seller advantages of short sale transactions is that the home is being sold by the occupant.  This is good for the financial and credit records of the seller. It is excellent for the buyer because it entitles them to the full disclosures that are required with traditional real estate but not with foreclosure sales. 

 

Buyer benefits outweight seller advantages of short sale transactions.  Often short sale properties are in better condition than Phoenix properties in foreclosure.  This is because they are still owner occupied and because the owners are trying to salvage their credit with the sale.  These sales can offer investors a bargain in today's market, properties from family oriented golf communities like Desert Ridge to retirement communities like Sun City.Contact a certified Short Sale Realtor.

 

Maureen Karpinski

Find your <a href=http://www.cactuscountryproperty.com/city/phoenix.htm>Phoenix Arizona Property</a> at Cactus Country <a href=http://www.cactuscountryproperty.com>Arizona Homes & Properties</a>

About the Author

Maureen has been in the real estate industry for 36 years as an agent and broker/owner of her own company. She prides herself in successful negotiation for both buyer and sellers and in building successful portfolios for investors. She is proud of her Agent friendly office environment that is her own creation and the caliber of real estate agents she has working for her

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