Charlotte Short Sales

Charlotte Short Sales are great opportunities.  Short Sales in real estate are frequently misunderstood. First, what is an actual "Short Sale". A Short Sale occurs when the home owner owes more on the home than the current market supports.

What is the home owner to do if the home owner owes $250,000 on the home and the current market value is $220,000. What if the current home owner's situation is that he/she must sell since there is no way to continue paying the mortgage (assuming the home owner does not have $30,000 in cash to pay off the current debt)? A short sale is a possibility and much better than a foreclosure.

The bank may accept the "shortage" between payoff and what is received. This is a tough decision for the lender. The lender's job is to protect their investment. This is typically a very slow process.

Expect the process to take about 4 months. If you are the seller, the phone calls will continue from collections. This is not a quick fix but it is a better option in the long run. Buyer, only place an offer on a short sale if you love the home and another home will not measure up. Otherwise, you will never be patient enough to wait four months plus for a decision. You are going to see many other homes over the next 4 months that will be of equal interest.

If you are considering a short sale, either as a seller or a buyer, give me a call and we will see if a Charlotte area short sale is right for you. Call Rick Waite @ 704.770.6559 or email at rjwaite1@gmail.com. Visit me Charlotte Real Estate website to learn more about the greater Charlotte Real Estate market and real estate in general.

Short Sales and Charlotte Relocations

I have recently spoke to several home owners across the nation that are in a very difficult position. They have a new position in Charlotte but are unable to sell their home in their home state for the amount that is owed. Several have shared that a short sale is their only option. This is not necessarily so. If your market is depressed and you you are upside down on your mortgage, you may want to consider renting your current home or a lease purchase. If your job is relocating you more than 50 miles the current may qualify you for your new mortgage while you rent out your current home. I understand no one desires to be an absentee landlord but it will save your credit and enable you to have a new home in the Charlotte area. Another option is to sell your home via a lease purchase. This is when the new buyer has a credit issue that needs to be corrected but their credit will be healed within the next year. The buyer basically moves into your home a year before purchasing it and takes full responsibility for maintaining the home. This is often a win/win situation. Consider your options before you torpedo your credit with a short sale. Renting for a couple years is not the end of the world but you would rather be in your own home and re-establishing your family in a better environment. Visit my Charlotte Real Estate website and learn more about our great housing opportunities.