Real Estate Short Sales - Who Makes the Money?

Real estate short sales are at an all-time high. With the economy being in such distress these sales and foreclosures are common. Many home owners are losing their jobs and finding it hard to make ends meet. This directly affects the real estate market because people who once had no problem paying the mortgage are now struggling. These sales are a much better alternative than a foreclosure.

When a home owner owes more on their mortgage then what the property is valued at, a home owner doesn't have many options. They may need to sell the property, but won't be able to pay off the balance owed to the lender. In this case they could foreclose. A real estate short sale is much better for the lender and the seller. The seller will not be responsible to pay the balance owed on the property after it's sold. Another aspect a seller needs to take into consideration is their credit. Whether a seller decides to foreclose or short sale it will impact negatively on their credit. These sales are a much better option because it may not  hurt their credit nearly as bad.

When a home owner is ready to seek information about short selling their property they should contact a real estate lawyer and get some legal advice. There will be a lot of paper work and contracts that a seller will need to read and sign. Getting professional advice will protect the seller from entering a bad contract. The seller will not be able to make a profit off these real estate sales.

Real estate short sales on the market will be listed at a below market value, which is a good opportunity for buyers. If a buyer is looking for an affordable home these sales are a good option. They could be buying a home that has instant equity. Real estate agents, title companies, and insurance companies all will benefit financially from a short sale. It's also better for the lender to have a short sale than having a foreclosure. Foreclosures can take longer to sell and the longer the property is on the market the more money the lender is losing.

Kristina Jarczyk of Remax Destiny is a short sale Realtor. If facing foreclosure, You do have options besides foreclosure, a short sale. Educating a seller about the current market and explain our marketing strategy is crucial today to get their home to 'SOLD'.

Visit http://www.kris4homes.com/ to get your home sold.

Addison homes for sale is an area I service but do service many counties in Illinios including Dupage County, Cook County, Will County, Kendall County and Kane County.