Can you withdraw an offer on a short sale?

When you make an offer to buy a short-sale listing, the sellers must accept your offer, forming an actual, binding contract, before it can be submitted to the bank for review and approval (or not). So, yes, you can withdraw your contract on this short sale and move on to another property.

Should you offer asking price on a short sale?

Word to the wise: Offering the seller’s full asking price won’t necessarily give you a better chance of getting the lender’s approval if the home is listed for lower than fair-market value. A better strategy is to order an appraisal, and then offer an accurate fair-market value price.

Can a seller make an offer on a short sale?

In a foreclosure, the lender has already bought the property, so you’ll make an offer directly to the lender, without a buyer involved. In a short sale, the home is being sold at a loss. So, while the seller still owns the property, the lender must approve any offers.

How is a short sale different from a foreclosure?

Short sales are different from both traditional home sales and foreclosures. In a traditional home sale, you work with only the seller and the seller’s agent to make an offer. In a foreclosure, the lender has already bought the property, so you’ll make an offer directly to the lender, without a buyer involved.

How to find a buyer for a short sale?

First, that means a seller will need to start finding a buyer, by listing their short sale home on the multiple listing service (MLS). Then, the buyer and seller will have to agree on a realistic offer price to submit to the bank.

Do you take a loss on a short sale?

Some short sale listings are deliberately priced way under market value to attract eager buyers, but that doesn’t mean the home will sell at that price. The homeowner may just be fishing, and the lender may not take that much of a loss. A real estate agent experienced with short sales can help you decide how much to offer. 4