Short Sale? Foreclosure? Or Regular Escrow?

Ever had questions on the differences between buying a foreclosure, short sale or regular escrow, well your in the right place.

Foreclosure Once you make an offer on a Reno foreclosure we typically have an answer from the bank in 3 to 5 business days. Unfortunately during this wait period they may continue to accept other offers. If it does turn into a multiple offer situation the bank will respond to the top 3 offers with a highest and best request. We can either choose to keep our offer price the same or raise it. Unfortunately they will not disclose the amount of the other offers. This is where our experience and other analytical skills will be valuable to ensure we have a good chance of getting the home without overbidding. Once we get the offer accepted on the Reno real estate we will typically have 30 days to close the escrow. The escrows on bank owned homes are simpler then short sales and regular escrows due to the as – is clauses we will have to sign for the bank. With all bank owned homes we have to accept them in as is condition. However we still do have the opportunity to do inspections and if we discover any serious defects with the Reno or Sparks home we can cancel the escrow and in most cases the earnest money would be returned.

Short Sales A Reno short sale is when the owner still owns the home, but unfortunately owes more on their mortgage then the home is currently worth. Once we make an offer you will typically have an answer in 24 hours. Once the Reno seller accepts the offer you will have your foot in the door and even if another offer is made once ours is accepted the bank can not bump your offer. However we will have to get the owners lender to accept our offer as well. This process can take anywhere from 2 to 6 months depending on the lender. We won’t officially start the escrow process until we have the short sale lenders acceptances in writing. Also if you like we can structure the offer in a way that allows us to cancel the escrow before we receive the short sale lenders written approval to free you to continue to look for regular escrows or foreclosures. If you find one of these homes and get an offer accepted you like better, we can cancel the current short sale escrow with no penalty. Once we do have short sale approval the escrow process officially starts and has the same characteristics of a foreclosure escrow. The Reno homes are sold in as is condition but once we complete our inspections if we discover serious issues with the home we can again cancel the escrow with no penalty.

Regular or traditional Reno or Sparks escrows are where the sellers of the property still have equity and will profit from the sale of the property. Once an offer is made on one of these homes we will have an answer typically in 24 hours. Once the offer is accepted we will perform all the inspections and pending on how we structure the offer the sellers will complete the repairs up to $500 or $1,000 dollars plus depending on the size of the home. These escrows almost exclusively close in 30 days or less.

So if you’re ready to get started give me a call or email and we can strategize on the best ways to get you in your next home.