Short sale properties can sometimes be listed below market value, but that doesn’t always mean that’s the price you end up paying. Short sales can be listed below market value with the intent of starting a bidding war, which increases the lenders chance of getting more money from the transactions.
According to Freddie Mac, to increase your chances of success, your offer needs to be competitive. In the case of a short sale, the offer may need to be closer to the actual market value of the property rather than the list price. Short sale listings are often priced low for the purpose of attracting multiple offers, but as we mentioned above, that doesn’t mean the property will sell at that listed price. Also, keep in mind that most banks will not evaluate the seller’s request for a short sale until there is an offer on the table.
The property’s market value can easily be gauged by looking at comparable homes that have sold in the area recently. In today's improving market, short sale prices have risen significantly, so remember to be realistic in the price you can afford and what you can really offer. An experienced real estate agent will provide the best advice about how to negotiate a reasonable sales price for short sales you may be interested in.
If you’re ready to start checking out short sales in the Denver area, Metrowest would love to help.
Since 2003, Metrowest Real Estate Services has been Denver’s premiere resource for residential, foreclosure, REO and investment real estate. When helping you buy or sell, our mission is to provide excellent customer service to our corporate and individual clients by ensuring that our agents exceed all standards for market knowledge, professionalism, and client support. Whether you are a high volume investor or a first time homebuyer, our team at Metrowest can help you realize your real estate goals! Metrowest is your Denver Colorado Real Estate Team. We specialize in helping you get the most of your sale, purchase or investment.
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"Dave Nelson was very very helpful in a very stressful time. We needed to sell as fast as we could because of a death in the family, yet get a good fair price. Dave would always let us know of any developments, what to expect, and walked us through much of the process. He went beyond the call of duty on several occasions when circumstances would unexpectedly arise. Way to go Dave, and will use him in the future."