St Petersburg | How do you determine the sales price of a short sale or pre foreclosure?
It might be different from state to state, but here in Florida Saint Petersburg we have to look at this from a couple of different angles.
The seller and owner of the house and condo that is for sale, the buyer, both Realtors and the bank. Everybody involved in a St. Petersburg short sale situation has a different motivation and looks differently at a short sale or pre foreclosure situation.
The seller who has most likely pay 20 or 30 or 40 even 50 % more for the house a few years ago, will want to break even or get as close as he can.
The buyer wants the best deal in town and buy it way under market value.
The banks want to keep their loss as low as possible.
The listing short sale Realtor is on the seller’s site but also knows that the house or condo has to be price “fair” or the seller will not receive any offers.
The selling short sale real estate agent is on the buyer’s site but knows that if the offer is too low, the bank will not accept it.
It all comes down to the BPO (Brokers price opinion) done by a Florida licensed Real Estate agent or Realtor (hopefully from the Saint Petersburg area) that is NOT involved in the short sale and he or she is hired by the bank or the appraiser that is also hired by the bank.
Whatever value they come up with is what the bank goes by. In my experience, the banks are a little negotiable on that price value. Let me give you an example.
If the appraisal comes back with $100,000 home value, the banks might try to get $120,000 but they might also be willing to go down to $80,000 If the fair market value on a short sale is $100,000 the bank most likely will not take $60,000 for it. They might as well start foreclosure procedure and sell it as bank owned.
Please click below to find all the information you need when buying or selling a Short Sale property in Saint Petersburg Fl.
If you think about buying or selling a house or condo in Saint Petersburg Florida, give me a call. I know the market, I know the neighborhood. Ask me about waterfront homes or condos in St. Pete beach. Treasure Island, Madeira beach, Seminole and other Tampabay areas. 727 409 8706