Craig Yeager's Q&A

A short sale is when the seller owes more than what the property is currently worth and asking the lien holders to forgive the debt that they are short on. An example: Let's say a property is worth 400,000 in this current market but the sellers bought it 3 years ago for 500,000. If the sellers got it into contract for 400,000 they would be asking the lenders to forgive the approximate 100,000 debt.These deals can take anywhere from 45-90 days sometimes as long as the price is realistic and the listing has been aproved by an agent experienced in this complex transaction. It also depends where they are at in the process. Once an offer is chosen it is submitted to the bank for their approval. So everything is contingent on the banks decision.Keep in mind a lot of these listings are grossly underpriced and completely unrealistic and usually if its too good to be true it usually is. You can still get a property at a good deal but some are just way underpriced.Some agents are grossly underpricing them trying to get a bidding war going on so they can get the price inflated through a bidding process with multiple offers and a lot of times they have been sent to the bank when they are still rediculously underpriced offers. Then the bank will counter a large amount back and then the deal cannot be done.I wouldnt stear away from these since you can still get a good deal and there's a large amount of short sales in our market today. Keep in mind when putting an offer in always base your offer off of recent sold comparable properties not the list price (unless its priced right) and be willing to hold out while you're continuing to look around.I do a lot of these deals and they are being done there's just a lot more home work involved and not to mention time. So you can get a good deal and I do think you should definitly try on short sales. If not you're missing out on way too many properties.Good luck!

The listing agent does have a fiduciary duty to the seller and is working on the sellers behalf.  The sellers are paying the commission to the buyer's agent. It is best to have a buyer's agent who's looking out for you and working on your behalf.  The best part is if you have an experienced agent who's good at negotiation he can even save you on price and or terms which will benefit you as well depending on the transaction.  A good agent earns his commission and can really benefit you in the transaction.It is a process so you want an agent who's looking out for you, great at communication, and good at exlaining things so you'll know where your at and what type of market you're in so you can come up with a game plan to get you into a home in this competitive market.Sometimes it can be challenging and its good that you have someone experienced and assertive at your side.Only work with someone you feel comfortable with and that can relate to you.Good luck & have fun!

Just call a title representative and they'll be glad to help. They'll run a preliminary title report on the property.  If you dont have one in mind try Wes Stoner Laywers Title 714 588-2982. If you have any other questions feel free to contact me.

Well what you want is called a comparative market analysis.  What we do is pull like properties (same sq footage,bedrooms,style,etc) that have sold within the past 4 months or so.  I also look at active listings currently on the market as well as pending/back up properties that are in escrow to see your competition. With all that information as well as seeing your home I come up with a suggested list price.  [content removed by moderator for being self promotional]Have a wonderful weekend!

Sonali,Where are you located?

Call Affordable Home Inspections they are located in OC. You can ask for Jerry although I've used several of their inspectors and they are all wonderful! They are very detailed and affordable at the same time.Good luck!

Talk with a qualified lender about FHA financing.

Wow sounds like a bad situation!  You could ask the your agent for some sort of confirmation/evidence that the offer was sent like fax confirmation, e mail etc.  I agree with Maria, you shouldnt be working with an agent you feel you can't trust.  If you can't even trust them sending over the offer think about what else they arent telling you or sharing with you. Try and check with your agents broker to confirm that the offer was sent. Also if this deal doesnt work out get another agent.Good luck!

Also yes you would increase the price by the desired amount you need for closing costs. Although make sure what your offering is not more than what its worth so you don't have an appraisal issue once in escrow. Always have a realtor help you look at the comps to make sure its worth what your offering and most importantly you're not paying way too much compared to the recent sales since prices have dumped quick in a lot of areas.

Talk with your lender and find out what your total costs are and ask the seller for a credit in buyers closing costs for whatever you need to do the deal and close escrow.Write it up like you would with the 3.5% down and in addition ask for the desired amount needed for the closing costs. I know here in California you can ask for a maximum of 6% back and no more. Good luck!