Many people have spent hours looking online before they even talk to us. And have many questions by the time they reach out. They come across a home that looks like a great deal and see it listed as a short sale or foreclosure. This point in the search prompts them to reach out and ask “What is a short sale? What is a foreclosure? And what is the difference between the two??”
We’ve made a chart to hit some bullet points to keep it simple.
Short Sale vs. Foreclosure
– Owner owes more than home is worth – Bank has already taken home over
– Owner could still occupy – Bank has evicted owner
– Owner will use sale to pay off mortgage – Owner has exhausted all options of paying for the home
– Buyer will have to negotiate with the seller – Buyer will work with the bank as the seller
and then negotiate with the bank as the sale requires
bank approval for purchase
– The short sale process can take a long time since
banks tend to have many routes and departments the
offer has to go through before acceptance.
For either kind of house it is highly recommended you find a qualified Realtor to help you purchase. This can be a complicated and involved process and it is best to have someone who is experienced by your side.