Buying foreclosed proposed, and properties under a short-sale, is a popular activity in today’s market, but there are numerous misconceptions about how to go about the acquisition. Foreclosed properties have already been taken by the bank and are part of the bank’s REO (real estate owned) portfolio .The banks are not in the business of owning real estate, and they want to sell the properties as quickly as is feasible while still being able to support the sale to their stockholders. The best device, by far, for the banks to use in order to get the greatest exposure in the shortest time, and a prompt sale under the most favorable terms, is the Multiple Listing Service. Therefore, the banks do, almost always, list their foreclosed properties on the MLS. It makes little sense for them to keep a secret inventory of properties which they want to dispose of. Consequently, if you are in search of foreclosed properties, you want to look at the MLS, which can be accessed through the link here on my website.

A short-sale is a slightly different process. In a market where homes may be valued at less than is owed to the bank, it may be necessary for the bank to consider accepting less than they are owed in order to facilitate a sale. Why would they do this? The bank does not to own the real estate. They realize the cost and time involved in a lengthy foreclosure process, and it is actually cheaper for them, in many cases, to agree to a short sale. The tricky part is getting through the bureaucracy to complete a short-sale. Banks facing such situations are notoriously difficult. They will throw up every conceivable hurdle, including forced sales of a sellers’ other assets. They will allege that certain bank policies prohibit certain concessions, when they do not. The average buyer, or even buyer’s agent, is not equipped to efficiently navigate these treacherous waters.

In order to facilitate these processes, I have an affiliation with a large national firm which is comprised of former loss-mitigation specialists. These people know the game thoroughly. They have a very high success rate and they take the stress and uncertainty out of the short-sale process. If you are interested in looking at short-sale or foreclosure properties and are not committed to another realtor, then give me a call. I would be glad to assist you.