How to buy a short sale home in Colorado

May 12, 2020 Real Estate

Denver realtor and short sale home buying tricks: Know how much you can spend. Know the neighborhood where you want to buy. Know the process. Securing early financing is important because it will ensure you’re qualified to purchase the property. Being pre-approved will give you greater bargaining power when the time comes to make an offer. Target a specific neighborhood or two to avoid becoming overwhelmed by listings. Ask your agent to notify you of listings within these neighborhoods that meet your other criteria, such as size and cost. Check comparable recent sales to get a good feel for the market.

There’s no exact formula on what the bank’s bottom line will be, so if foreclosed homes in your area are selling quickly, it’s important to work with your agent to craft a strong offer, backed up by your preapproval letter. In many instances, foreclosures are already discounted so an offer that’s too low might be a non-starter for the bank. Keep in mind that the type of house and location matter, and some homes might sell faster than others. In competitive markets, you might need to offer asking price (or slightly more if there are multiple bids) and keep contingencies at a minimum.

What is a short sale? The concept of a short sale home is fairly simple. It happens when a homeowner owes more on their home than it’s worth. The home’s market value falls short of the balance owed on the mortgage. This is also called being “underwater” or in “negative equity.” In a short sale, the homeowner needs to sell their underwater home – and the mortgage lender gives permission for the property to be sold for less than the outstanding balance. The lender calculates that it will make a smaller loss that way than after a foreclosure. So in a way, a short sale can help both the lender and the homeowner. Read additional info on How to buy a short sale home in Colorado.

My background includes a bachelor’s degree in marketing, a master’s degree in business administration, and completing other courses — such as the accredited buyer representative program — to deepen my knowledge. I regularly tour listings to stay up to date on the housing inventory and marketing strategies to ensure your real estate journey is fully informed. I love being a real estate agent. And I look forward to working with you to find the home of your dreams!

Hi, I’m Jenn. I am passionate about real estate and enjoy sharing my knowledge with clients to help them make good decisions. I’ve had my real estate license since 2001; and am an experienced agent, representing both buyers and sellers. Currently, I serve all of Denver Metro and the surrounding areas. Thanks to my growing up in Colorado, I give my clients an inside look into neighborhoods, communities and amenities nearby. When I first started out, I focused on helping first time home buyers, becoming very familiar with financing, foreclosures and HUDs, and other details related to successfully closed transactions. Shortly after, I decided to start working with both buyers and sellers. Over the years, I have helped hundreds of sellers and buyers successfully navigate the stressful world of real estate. Read extra details on https://www.jennifer8z.com/.