Short Sales

Define Short Sale | Selling Short

What is a Short Sale? A Short Sale in Real Estate terms is when a property owner and a bank / lender agree on selling the property, most of the time a home for less then what the owner still owns on the loan. This normally is a desperation move by both home owner and mortgage company before moving forward with a foreclosure. Stocks also can be sold short.

Real Estate Short Sale Basics

Short Sales can be viewed as an Alternative to Foreclosures and sometimes called pre-foreclosures and normally show up on your credit report as pre-foreclosure in redemption instead of debt discharged due to foreclosure.

Short sales might not be “the solve all” to the situation, something the banks will require a borrower to kick in extra money narrowing their losses for the lender. This might help pay for back taxes, legal fees, real estate fees, etc…

Short Sale Articles & Tips
• What to do When the Sales Prices leave you Short? - http://www.realtor.org/rmosales_and_marketing/handoutsforcustomers/handouts/shortsales_sellers
• Making an Offer on a Short Sale? What You Need To Know - http://www.realtor.org/rmosales_and_marketing/handoutsforcustomers/handouts/short+sales+tips+for+buyers
• The Basics: Short Sales - http://www.realtor.org/realtors/basics_short_sales

Short Sales vs Foreclosures | Bank Owned | Real Estate Owned – REO

Now that you know what a short sale is what the different between Foreclosures, Bank Owned and REO – Real Estate owned. A foreclosure is the legal process when a bank is taking back a property from an owner who has fallen behind on payments. Then the property or home is put up for bid at a foreclosure auction which most of the time it doesn’t sell. So, at this point the bank / lender takes full control of the property and is now considered Bank Owned with is the same thing as REO – Real Estate Owned.

How does A Real Estate Short Sale Work? If you’re a seller looking for a short sale you need to talk to your lender. If you a buyer looking to purchase a short sale in Central Wisconsin email This e-mail address is being protected from spambots. You need JavaScript enabled to view it