Buying in a Short Sale Real Estate Market

Today's real estate market is filled with what is termed short- sales. Due to the tough economy property prices have plummeted and what this means is that certain owners of a particular piece of property owe more to the note holder of the property than what the property is valued at. So this is why it is a great time to buy, even with the government tax credit gone by the way side. For example a home that may have been valued at $300,000 several years ago may now be only worth $225,000. But, don't expect if your attempting to purchase a short-sale that it is easy. Why? Well the bank whom which holds the note has a lot to say about whether they want to let it go for less than what is owed and there is a number of factors which the banks look at. But simply put if a home goes on the market at a certain asking price and you make an offer on it at asking or even lower and it is accepted, the bank needs to evaluate and make a decision whether or not to let it go for that price. They need to send out a BPO (Broker Price Opinion) agent to perform the task, but before that even happens the seller needs to provide a heavy load of documentation to the bank i.e. taxes, pay stubs, bank account information, etc. All in all it can be a long process, one which causes a lot of aggravation to buyers and sellers for that matter. The best thing that a buyer can ask of the seller or the seller's agent is how far along in the process is the short-sale and if found to be just in the early stages, then you butter buckle up for a long ride sometimes upwards to 120 days or longer. So you better really like the house to wait that long. Now, if it is been in process for a while then the wait may be cut in half or shorter. The fact is though short-sales can be bargains if your willing to ride out the process.