What is a short sale?

What is a short sale?

We have been hearing this term a lot lately and some first time home buyers are not sure what a "short sale" is. Basically a short sale happens when the Bank allows the Seller to sell the property for less than what is owed to the Bank. If the Seller can't continue making the payments, it is better for them to sell "short", than to go all the way to foreclosure. It is usually better financially for the Bank to allow a short sale than let the property go to foreclosure. Short sales are far from easy, but a patient Buyer may find a bargain on a nice home. There is no law that says a Bank has to agree to a short sale and short sales can take a long time to close, some times weeks and even months longer than a regular sale. The Seller has to prove than they can no longer make the payments and they may have to actually be delinquent on payments before a Bank will allow a short sale. Policies differ from Bank to Bank.

Fortunately we do not have as many short sales in the Tigard, Oregon area as other parts of the country. We are seeing an increase in the number of Bank owned properties, sometimes called REO's, but we are also still behind most parts of the country in this category.

If you have any questions about Tigard real estate, give me a call. You will get straight answers with no sales pressure.

Wayne Pruner, GRI 503-891-0795 email: waynepruner@oregonfirst.com

Wayne B. Pruner is a Realtor® at Oregon First, who works in Tigard, Oregon. He is ready to help you with all your real estate needs and he is also a licensed contractor. Wayne knows houses! His phone number is 503-891-0795. Here is a link to his real estate website, Tigard Oregon homes for sale.