I wrote yesterday about the huge difference in quality we saw between homes listed as Short Sales and those listed as Bank Owned (If I were a bank). (In a short sale, the homeowner still owns the home but needs the bank to approve a sale. If they can’t get the home sold, the bank will proceed with a foreclosure, and oftentimes ends up owning the property – hence Bank Owned.)
Comparing the two, the Short Sale homes were in better condition and they were priced higher than the Bank Owned homes. In addition, the bank hadn’t spent any money yet to foreclose on the home, and then to own it.
If I were a bank…
When my borrower brought me a Short Sale contract (and the potential to get rid of this property NOW and probably for more money), I would say YES!! And I would say yes QUICKLY!!
Your still doesn’t understand why short sales are so hard to get closed Realtor,
Chris Butterworth
[tags] short sale, bank owned, foreclosure [/tags]
Chris Butterworth is a Realtor. He's also a husband, father, writer, amateur photographer, and self-proclaimed tech junkie. And he's an all-around good guy!
{ 2 comments… read them below or add one }
Shailesh,
You’d think!
It’s no secret that banks don’t make good property owners or Realtors, but they’re supposed to be very good with money & financial matters. Hmmmm..?
Chris,
This shows you that banks are not good owners when it comes to real estate. It make no sense how much time they take to approve short sales. You’d think that by now they have their processes down and know how to deal with these files. Considering the cost of foreclosure and holding cost, you’d think they would expedite the process.