So, if you are seriously considering buying a Short Sale in St. Petersburg Tampabay, find a Realtor that works for YOU, that has YOUR best interest in mind. Someone that is straight forward and tells you the truth. Not someone that sugar coats everything and says “No Problem, walk in the park” and not someone that is so negative that you freak out just thinking about a Short Sale. You need an objective Realtor that gives you all your options and all the information you need and then YOU make the decision and nobody else.

The first thing I do when a buyer calls me about Short Sales is – I qualify them.

This might sound very strange to you but it is the best way to figure out if a Short Sale situation is the right way to go.

Here is how the situation usually goes

• B = Buyer
• A = Agent
• B – My name is Peter I want to buy a house that is listed as a short sale, what can you tell me about it?
• A – Peter let’s start with a few basics first so I can get a good feeling for your situation. How much time do you have to move till you want to move into your new home?
• B – Well I am starting my new job in 5 weeks.
• A – Sorry but 90% of the Short Sales in Saint Petersburg Tampabay take way longer, 4 to 7 month to close. So in your case we have to look at “Approved Short Sales” or regular sales but no Short Sales.
• B – If I get a great deal with a Short Sale I can stay in a rental for a few months.
• A – Ok, that will work. Now please tell me what loan amount you are approved for.
• B – I think I can afford about $400,000
• A – Peter, I am just going to be straight forward with you. You need to be pre approved before I write up an offer and I have three important reasons for it.

1. 1.I do not want to show you a property, then you fall in love with it and then you are very disappointed and frustrated when you don’t get the mortgage. Times have changed a lot and getting a loan isn’t that easy anymore. So, before you even look at homes you need to talk to your mortgage broker.
2. 2.Once we find a home and we want to make an offer we need the pre approval letter to go with the offer. In today’s real estate market a seller will NOT even look at your offer if it is not accompanied by a pre approval letter.
3. 3.Once the bank approves your short sale offer they want to close with 2 to 4 weeks or you lose the deal. If you have not started your loan application you will Never be able to go to closing within the timeframe. Mortgages take 4 to 8 weeks nowadays.

• B – Ok Anne that makes sense I will call my bank in the morning and see what they have to say and this way I have enough time to shop around for the best interest rate and terms.
• A - Last but not least, are you prepared to pay for repairs and updates and maybe appliances?
• B- I do not like this idea at all.
• A – Perfectly understandable but the seller is only doing a Short Sale because they do not have any money and they are so frustrated about losing their home that they will not spend one dime on repairs. In fact they will only accept AS IS offers.
• B – I see what you are saying and if the repairs are not too bad I am ok with it, after all I am getting the house for pennies on the dollar.
• A – Uuuuh let’s stop right there. Pennies on the dollar is a very lose term. I just want to make sure we are both on the same page. You will get a great deal when you buy a Short Sale no question about it. But do not let the asking price fool you, it can be all over the place. Some Short Sales are listed way too high and will sell for much less and others are priced way too low and will sell for much more. Once we find a home you like we will do a comparable market analysis and determine the fair market value, deduct for the hassle of a short sale, for repairs for all kinds of things and based on all of this we will make an offer that will be a great deal and that you feel very comfortable with.

See, this is what I mean by qualifying the buyer. If you have to move in within a set time frame most Short Sales in Saint Petersburg Tampabay will not work for you. If you expect the seller to do repairs or updates, forget about a Short Sale etc.

Short Sales can be fantastic deals, no questions about it but they come with a different price tag which is time, some frustration, waiting etc.

Every Short Sale in St. Petersburg is a little different, every buyer’s situation is different and I know you have a lot more questions. Just give us a call or come by the office and we will help you figure out what to do and which way to go.

Anne Hensel 727 410 7777      or         Manny Baginski 727 399 9990