- Find a Real Estate Professional
- Realtors®
- Mortgage Lenders
- Home Improvement Pros
- Other Real Estate Services
- Review an Agent, Lender or Pro
- Marketing on Zillow
- Real Estate Agent Advertising
- Join the Professional Directory
- Popular
- Real Estate Market Reports
- More
Answers (10)
- James Matson, "JamesMatson"
- Contributions:7
Hi Christine,
There's nothing 'short' about a short sale. They take a lot of time to work through the approvals required. If your friends do have a financial hardhip that the bank accepts as cause for a short sale, the ball is in the banks court. Your friend can't pick you as the lucky recipiant of a below market value sale, the bank will look for buyers that reduce their loss.
Get together with a good realtor that can give you the best advise based on your buying power and list of needs and wants.
It's a great market to buy in!
Have fun!
There's nothing 'short' about a short sale. They take a lot of time to work through the approvals required. If your friends do have a financial hardhip that the bank accepts as cause for a short sale, the ball is in the banks court. Your friend can't pick you as the lucky recipiant of a below market value sale, the bank will look for buyers that reduce their loss.
Get together with a good realtor that can give you the best advise based on your buying power and list of needs and wants.
It's a great market to buy in!
Have fun!
- Alma Kee, "Realtor Alma"
- Contributions:133
Hi Christine,
If you are ready to buy and can qualify for a mortgage, you may not be able to buy the hosue you are renting because lenders will require you and the owner to sign an "Arms Length" transaction form.
There are many, many available properties so if you have at least a 620 credit score and verifiable income and not too much debt, and area a first time homebuyer you may be able to get up to $7,500 from the State of Florida Bond program. You MUST work with an APPROVED lender on their list so I would start there, Iberia Bank's Loan Officers are great:
http://apps.floridahousing.org/StandAlone/FTHBWizard/FTHBWizardForm2.aspx
Once you have a written preapproval letter in your hands, find a Realtor to help you and she can show you everything that is available in your price range. With the bond money you cannot buy a "fixer upper" because it has to be used with a regular FHA, USDA, VA or Conventional Mortgage so you may need to eliminate most Short Sales and REOs--unless the REO is in good functional condition.
Also if you buy a HUD owned foreclosed home you can buy with only $100 down and buy a fixer upper and include upgrades to the house, i.e. granite kitchen counters, hardwood floors, tile floors, new paint, new roof, new a/c, etc. As long as the "after fixed up" value supports your upgrades. A Lowes or Home Depot Contractor (possibly a few other contractors are allowed, too) will do the repairs/upgrades so you may get a beautiful home and not have to lift a finger!
Hope this helps.
Good luck in your home search!
All the best,
Alma Kee, Realtor Tampa
If you are ready to buy and can qualify for a mortgage, you may not be able to buy the hosue you are renting because lenders will require you and the owner to sign an "Arms Length" transaction form.
There are many, many available properties so if you have at least a 620 credit score and verifiable income and not too much debt, and area a first time homebuyer you may be able to get up to $7,500 from the State of Florida Bond program. You MUST work with an APPROVED lender on their list so I would start there, Iberia Bank's Loan Officers are great:
http://apps.floridahousing.org/StandAlone/FTHBWizard/FTHBWizardForm2.aspx
Once you have a written preapproval letter in your hands, find a Realtor to help you and she can show you everything that is available in your price range. With the bond money you cannot buy a "fixer upper" because it has to be used with a regular FHA, USDA, VA or Conventional Mortgage so you may need to eliminate most Short Sales and REOs--unless the REO is in good functional condition.
Also if you buy a HUD owned foreclosed home you can buy with only $100 down and buy a fixer upper and include upgrades to the house, i.e. granite kitchen counters, hardwood floors, tile floors, new paint, new roof, new a/c, etc. As long as the "after fixed up" value supports your upgrades. A Lowes or Home Depot Contractor (possibly a few other contractors are allowed, too) will do the repairs/upgrades so you may get a beautiful home and not have to lift a finger!
Hope this helps.
Good luck in your home search!
All the best,
Alma Kee, Realtor Tampa
- Shannon Rose
- Contributions:66
Are you the owner who has been renting the property, but is now is a position to short sale? Or are you the tenant, and the seller is looking for a buyer for a short sale transaction?
- Darla Dennis, "Dare2drm"
- Contributions:40
Hello Christine,
Be careful. If the home is underwater and the seller is behind on payments, you could end up in trouble. Like Nathan said, there could be a problem with "fraudulent behavior" from the view point of the bank or financial institution. If the seller is going to do a short sale, using a qualified Realtor, then you could possibly put a bid in on the home. as stated by Lumi. However, for your protection, hire a Real Estate Professional "buyers agent" to represent you. If you and the seller decide you want to pursue this without a Realtor, consult a Real Estate Attorney. Short Sales can be a very borderline transaction and as Realtors we take every precaution to make sure that fraud is not taking place. It is a great time to buy. Good Luck
Be careful. If the home is underwater and the seller is behind on payments, you could end up in trouble. Like Nathan said, there could be a problem with "fraudulent behavior" from the view point of the bank or financial institution. If the seller is going to do a short sale, using a qualified Realtor, then you could possibly put a bid in on the home. as stated by Lumi. However, for your protection, hire a Real Estate Professional "buyers agent" to represent you. If you and the seller decide you want to pursue this without a Realtor, consult a Real Estate Attorney. Short Sales can be a very borderline transaction and as Realtors we take every precaution to make sure that fraud is not taking place. It is a great time to buy. Good Luck
- Gary Waters, "gwatersc21"
- Contributions:22
I am a bit confused as well. Are you the tenant in a home you have rented for three years? Or are you the owner of a rental property?
- Lumi Ispas, "Lumi Ispas"
- Contributions:203
1. Get pre-approved for a loan unless you plan to pay cash.
2. Find out what the property is worth by calling a Realtor (you can ask the Realtor that you'll hire to represent you)
3. Get buyer representation by hiring a knowledgeable Real Estate Broker in the short sale process.
4. Talk to the seller and decide who will negotiate the short sale. The owner might hire his own Real Estate Agent or an attorney to conduct the negotiations.
4. Write an offer on the property.
5. If you are in a state were attorney are involved hire an attorney.
6. When the short sale gets accepted, close!
This should help. Contact me if you have more questions.
Lumi
2. Find out what the property is worth by calling a Realtor (you can ask the Realtor that you'll hire to represent you)
3. Get buyer representation by hiring a knowledgeable Real Estate Broker in the short sale process.
4. Talk to the seller and decide who will negotiate the short sale. The owner might hire his own Real Estate Agent or an attorney to conduct the negotiations.
4. Write an offer on the property.
5. If you are in a state were attorney are involved hire an attorney.
6. When the short sale gets accepted, close!
This should help. Contact me if you have more questions.
Lumi
- Nathan Tutas, "Nathan Tutas"
- Contributions:61
- christinebrown13
- Contributions:2
A Good friend owns the house, that we are renting and she said she would sell to us by doing a short sale. Would this be a good option to think about or should we just keep renting?
- Darrell Self, "Darrell Self"
- Contributions:349
You will want to talk to a CPA and attorney about your options. I had a client that filed bankruptcy because her CPA and attorney informed her that she would be 1099 'd for the short sale on a,non owner occupied proper and would have had to pay income tax on the difference between the sales price and the mortgage amount owed. That was two years ago. So be sure to call a CPA and an attorney to tell you your best options. I hope that helps.
- Nathan Tutas, "Nathan Tutas"
- Contributions:61
I'm not sure i understand your question. Are you asking how it's possible that the owner is doing a short sale while you've been renting it? If that's the case, the owner is free to sell their if that's what they need to do. Can you provide more details? You'll get a better answer that way. Good luck.
Nathan
Nathan
How do you do a short sale on a home we've been renting for 3yrs.?
Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.
We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.