Tips For A Successful Shortsale
In the current market, short sales are at a high. A short sale is literally what the name describes; the proceeds from the sale will fall short of the current liens against the property. Homeowners opt for a short sale to avoid the foreclosure process if they cannot afford to pay the unpaid balance of the current liens.
For prospective home buyers, a short sale can be a great opportunity to buy home at a very low price. However, prospective buyers need to look beyond the current price tag, to avoid expensive problems at a later date. Here are three tips to make your purchase a success:
1. Home Inspection
Do not skip the home inspection! While there can be a lot of pressure to acquire a loan for a short sale quickly, do not get pressured into skipping the home inspection. The home inspection is a key component to finding any potential problems that could be very costly later.
2. Contract Deadlines
Acquiring a loan for a short sale can be a process and can take longer than purchasing a traditional home. Make sure that your contract allots for that extra time. If you miss a financing contingency or closing date, you can potentially lose your earnest money. If your loan never closes, that is money you may never see again.
3. Do Your Homework
Banks can be anxious to get a short sale property closed. If the bank does not give you full disclosures, you may not know everything about the property. For example, if your home is in a flood zone, you will have to pay for special flood insurance and could be subject to future damage. Be sure that you do your due diligence to know the details of your future home.
United Home Loans is a correspondent lender and will work with you to help you purchase the home of your dreams. We help mediate your relationship with the lender to ensure that you are receiving the utmost benefit. We are licensed to provide mortgage loans in Illinois, Michigan, Minnesota and Wisconsin.
Illinois Mortgage Rates
IL 30 Year Fixed mortgage as of February 12, 2013
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Michigan Mortgage Rates
MI 30 Year Fixed mortgage as of February 12, 2013 3.375%/3.539 APR
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Minnesota Mortgage Rates
MN 30 Year Fixed mortgage as of February 12, 2013 3.375%/3.539 APR
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for APR assumptions
and more MN mortgage rates
Wisconsin Mortgage Rates
WI 30 Year Fixed mortgage as of February 12, 2013
Please click this link for APR assumptions and more WI mortgage rates