Short sales on Fannie Mae and Freddie Mac homes (that’s 57% of U.S. mortgages) nearly quadrupled in the first nine months of 2009 compared with the same period in 2008. At the nation’s largest mortgage servicers, short sales soared 165% to 74,513 in the first nine months of 2009 from the year-earlier period.
Resistance is softening. Banks and investors are increasingly willing to agree to a short sale as a less costly option to foreclosure.
Comments
In real estate, what is a short sale?
I heard a realtor talking about condo properties for sale in a FL high rise and she said that some in the building were short sales so that they may not go through. What did she possibly mean by that?
A short sale is when the property is sold for less than the mortgage balance, with the mortgagee’s (lender) approval.
realtor.sailor
References :
I’m a Realtor
Good Day…. you can go to this site also for some more questions… maybe they can help you..
http://www.cedarcity-realestate.com/
References :
example for short sale: The bank take back the condo or the house that the borrower no longer can affort. The property might still have a balance of $100,000 on the mortgage that still owe the bank. The bank sometime will ask a realtor to list the property for them and list the price below the balance still owe like $98,000 or below just to sale the property. If you offer too low(example $60,000), the bank might not willing to take a big lost like that. Sometime short sale might take up to 6 months for the bank to approve the offer or not. Hope this help.
References :
Worked with title company for 6 years and a Loan Officer in Texas.