Short-Sale Property Investing 101

One of the best ways to get a fantastic deal on distressed real estate is to pursue a purchase strategy known as a ‘Short-Sale’. Not as widely known or tried as standard ‘Foreclosure’ or ‘REO’ purchases, attempting this transaction type can require more work, yet the payoff can be well worth the trouble. In this article I will describe what a Short-Sale is, outline how it differs from other distressed properties and discuss how best to take advantage of these opportunities.

What is a Short-Sale Property?

A Short-Sale is a purchase transaction in which a buyer is able to purchase a property for less than the outstanding mortgage on the property. In these cases the property’s value is often not enough to satisfy the amount still remaining owed to the bank or lender otherwise the owners would typically simply sell the property, pay off the mortgage and keep the difference. A Short-Sale transaction is one where a 3rd party purchaser is able to negotiate with the lender sale terms that prevent foreclosure on the original owner and note holder, but that are less than the amount still owed on the mortgage.

How is a Short Sale different from Foreclosures and REO’s.

Short-Sale purchases differ from Foreclosure and REO purchases for two primary reasons. First of all the purchase occurs before the property actually is foreclosed upon and typically occurs during the pre-foreclosure process. Secondly, a Short-Sale implies that amount paid for the property is ‘short’ the full amount due on the property.

Elements of a Short-Sale Transaction

There is a specific set of elements that take place during a Short-Sale purchase starting with the Short-Sale buyer identifying an appropriate property, conducting appropriate research and approaching the current owner of the property to discuss the idea of the 3rd party approaching the lender.

A Short-Sale buyer must always have the permission of the current owner. This is because legally if the current owner does not agree to help you do a Short-Sale they can stay in the property and only be forced to leave after the foreclosure already occurs at which time the property will be put up for auction. The idea is for the Short-Sale party to convince the property owner that is behind in his payments that it is to his benefit to avoid foreclosure and help them do a deal directly with the lender, hence saving their credit and the additional headache of having a foreclosure on their record.

Once a Short-Sale party has the permission of the homeowner in writing, they may then approach the loss mitigation division of the lender on the property. This is the first chance to develop a friendly relationship with the lender and to inquire what kind of terms the lender might be looking for in order to agree to a Short-Sale transaction on the property.

The next step would be to take into consideration what you’ve learned from the lender and then go about crafting a ‘hardship letter’. This letter outlines the actual financial details of why the current owner can’t continue to make payments on the property and gives a compelling case convincing the lender that if that a foreclosure or bankruptcy is absolutely inevitable. Only if this case is made will the lender likely consider the option of a Short-Sale so this is a crucial step.

For the next steps involved in securing a Short-Sale property including step-by-step secrets to ensure success please visit www.PropertyWorkouts.com

In 3 months (or less) you can quickly and easily become a mini real estate tycoon… by flipping houses! Looking to increase your net worth? Read a guide that will change the Way you look at real estate investing forever at Flipping Houses 101.

Short Sale Condos in Scottsdale

When you think of the condo market in Scottsdale, you cannot help but think back about 4 years when it was a buyer’s market and buying a condo was fairly easy. Today, buying a condo is far different. Take into consideration that condos have their own culture within the real estate market. HOA companies can truly make or brake the experience of owning a condo in a really big way. The best way to avoid buying a condo you might regret is to use an agent who specializes in the condo market. This is especially important when you add in REO’s, short sales and foreclosures into the mix. It’s no wonder why you need a specialist. While the condo market can be very detail oriented and tricky, it has provided a true niche within the real estate industry.

Our focus today is to discuss the value of searching for short sales within our local real estate market. When you begin a simple search for condos for sale in Scottsdale, you will unavoidably come across short sales and foreclosures. In doing so, there will be the allure that you will somehow gain a great bargain by putting in offers for these condos. While this can be true, we are here to advise you to be cautious.

Typically, short sales have multiple offers with different types of financing available from each buyer. The bank has the discretion to sit back and entertain these offers for months, sometimes even over a year. What tends to happen during this time is the quality of the buyers keeps going up. What we mean by quality of buyer is, for example, buyer Joe has 3% down and an FHA loan behind him to cover the other 97%. Buyer Mary has 20% down and a conventional loan behind her to cover the remaining 80%. Now, between these two buyers, Mary is the stronger client and the bank is likely to side with her. However, an acceptance of the offer can drag on and on for months, leaving the door open for buyer Jason, who is a real estate investor and who will offer 100% cash. Now buyer Mary is very likely not to get her offer accepted.

Even worse, as the offers come in the price the bank will accept goes up. While the bank is entertaining offers below what is owed on the home, the issue is what the property is CURRENTLY worth. Most of the time, after the offers and counter offers drag on, the condos go for fair market value in the end. That means a condo around the corner will sell quickly in the traditional manner and it will sell for the same price as the headache short sale. So, why not save yourself 6 months to 1 year by avoiding the short sale entirely?

Of special importance, there are times when a short sale is a great deal. Unfortunately, those often go quickly, to a full cash buyer.

In 3 months (or less) you can quickly and easily become a mini real estate tycoon… by flipping houses! Looking to increase your net worth? Read a guide that will change the Way you look at real estate investing forever at Flipping Houses 101.

Shanghai Real Estate: Most Cost-Effective And Hassle-Free Real Estate Solution

Are you planning to invest in the real estate sector in China? Then Shanghai real estate is the best place, where you cannot simply rule out the lucrative benefits of investing. Investing in Shanghai properties is a progressive choice because it is expected that the property rates will touch high point in the coming few years. This is evident by urbanization, increasing household income, low homeownership rates and so on.

You could consider investing from both investment as well as residential use perspective in the realty section of Shanghai. The versatile real estate in Shanghai is one of the major factors for its rising popularity. The decision to invest in Shanghai real estate will serve you really well if you seek professional assistance from a reliable Shanghai property agent. This will help you to ensure that the property you have chosen in Shanghai has been backed by the right guidance from professionals in the real estate sector. But you need to get a clear understanding of all the different types of property options available for purchase or rent in the city.

It is always best to avail the expert services of a reliable house agency in Shanghai to locate a suitable accommodation for yourself. These agencies have thorough knowledge of the real estate market and are well-equipped to solve all your problems related to accommodation in Shanghai. A professional house agency also keep up-to-date information about the rents.

You could even opt for old Shanghai apartments which are built around the style of European architecture and are famous for their peaceful and soothing surroundings. These apartments are one of the most cost-effective housing options available in Shanghai.

If you have a desire to live in a luxurious accommodation with all modern amenities, you will easily be able to find a newly built Shanghai villas and apartments. These new apartments in Shanghai are well-equipped with all the latest amenities and gadgets, for instance swimming pools, restaurants, gymnasium, sports facilities, club facilities, and many more.

There is also the option of serviced apartments in Shanghai. These apartments are meant for those who plan to stay in the city for a short period of time. They are mostly run by large hotel groups and are well-equipped with all modern amenities.

If you are looking for one of the most renowned and reliable house agency that can provide you with a wide variety of Shanghai properties, visit newportchina.com

In 3 months (or less) you can quickly and easily become a mini real estate tycoon… by flipping houses! Looking to increase your net worth? Read a guide that will change the Way you look at real estate investing forever at Flipping Houses 101.

Selling Real Estate In Canada Is Now Easier And Cheaper

Whether you are planning to sell your real estate in Toronto, Montreal or any where else in Canada, the fee you have to pay for the services of a realtor can be substantial. Most will charge a percentage of the sale price and if the realtors didn’t do their job well enough, that price won’t be anywhere near what you had hoped for when you put your property on the market.

Perhaps you are thinking to buy home or investment real estate and are hoping to get a good deal. The MLS listings should give you accurate details about the property you wish to view, but the realtor a seller has chosen should also be able to give buyers information about the neighbourhood, the amenities like shopping, leisure facilities and any schools the buyers’ children might want to go to.

If you are thinking to sell home or investment real estate you’ll need to make sure that you choose a reputable listing or realtor to conduct your business.

Fortunately the sellers in Canada now have a choice to have access to MLS without having to pay hefty fees. A seller can opt for a full service MLS or go for a Flat Fee MLS and pay for only those services that he needs.


A flat fee MLS basis is a good start to keep costs down and getting a better financial result at the end of the sale. Lower real estate fees and commissions may be offered by a number of companies, but it is important that your decision isn’t just based on saving costs alone.

A reputable and experienced company will prepare the best possible MLS listing for their client, irrespective of the fee package their client has chosen. Any subsequent marketing campaign should reflect the commitment to their clients, even when the seller has agreed to pay a flat fee or just a 1% commission at the end of the sale. A realtor who is purely motivated by the fee they get will lose thousands of dollars for their client, since they couldn’t care less what the property sells for as long as they just get their fee.

A reputable company bears in mind that you may well wish to sell another property in the future – and that you will choose a different realtor to do so, if you’re dissatisfied with the original service you received.

There are a number of different fee packages available and you should shop around, which one will suit you best in the long run.

In 3 months (or less) you can quickly and easily become a mini real estate tycoon… by flipping houses! Looking to increase your net worth? Read a guide that will change the Way you look at real estate investing forever at Flipping Houses 101.

Sandpoint Idaho Real Estate Agents – the Good & the Bad

Short ones, tall ones, fat ones, skinny ones, good ones, bad ones, sad ones, happy ones. The list could go on and on forever, and starts to sound like a Dr. Seuss story. Like in any profession, you will find a wide variety of people who fit into the Sandpoint Idaho real estate agents category. They are professionals who are there to serve clients buy and sell real estate, and there are a lot of them.

Sandpoint Idaho is a happy place. Good schools, modern shopping, beautiful scenery and lots of recreational opportunities. Some quick research reveals that there are hundreds of Sandpoint Idaho real estate agents. Since North Idaho is such a great place to live it makes sense that there would be plenty of professionals to help people come and go. Some agents focus on transactions in raw land, others on homes, others on commercial. Any prospective buyer or seller can find an agent to help them with what they need. If you are more comfortable dealing with a nationally franchised real estate company you can easily find that. If you’d rather work with a smaller, more private agency, you can do that as well. No matter what your preference, Sandpoint, Idaho real estate agents are going to be able to help make your real estate goals and dreams come true.

Here is a list of some of the agencies in or near Sandpoint, just to name a few:

• Century 21 RiverStone Real Estate
• Maiden Rock Real Estate
• Dover Bay Real Estate
• CM Brewster & Co Real Estate
• Windermere Real Estate/Idaho First Realty, Inc
• Remax All Season Real Estate
• Four Seasons Real Estate
• Lake Country Real Estate
• Dover ID Real Estate
• Evergreen-Realty

Now let’s face it, some people make good agents and others don’t. I have experienced both good and bad Sandpoint Idaho real estate agents. Years ago, when I was renting a house that was on the market, I had a situation that bugs me to this day. The real estate agent came to the house when we weren’t home to show it to a prospective buyer. For whatever reason he didn’t have a way in to the main house, but knew that there was a key in the garage / shop. He had his little boy with him so he got creative. An open window in the shop area allowed him to lower his kid into the room, and unfortunately down on to a balsa wood RC airplane that I had been building. The kid stepped on the wing and broke a piece off. They got what they needed and left, leaving me a little note that said, “No key, got one from shop, sorry about plane.” I called him about it and he told me that’s what happens sometimes. That’s it! No apology, no offer to remunerate me. I lost some respect that day for that agent.

But, I realize that not all Sandpoint, Idaho real estate agents are that way by any means. In fact, one of the best business experiences I’ve ever had came from working with an agent that was a real pro. She constantly kept us informed, did everything possible to ease our concerns and stresses along the way through negotiations, and in the end even gave us some wonderful house warming gifts.

If I were buying or selling real estate in the Sandpoint area, and needed an agent today, I would do some careful research first. I would consider the Sandpoint Idaho real estate agents, their reputations, how satisfied previous clients are, and then pick one that I trusted and thought would be energetic in working to assist me in my goals.

In 3 months (or less) you can quickly and easily become a mini real estate tycoon… by flipping houses! Looking to increase your net worth? Read a guide that will change the Way you look at real estate investing forever at Flipping Houses 101.

Role of the Lawyer in Real Estate Transaction

Buying and selling of the property is one of the most significant and important financial transactions one will undertake. It involves the execution and delivery of all necessary documents simultaneously with the payment of the purchase price and the settlement costs of the transaction. This may look like an simple process, but buying and selling a home is an daunting task. But buying or selling a home can be one of the most exciting experiences in one’s life and it requires attention to numerous details, and thorough knowledge of local real estate laws. Consequently, the importance of consulting with a knowledgeable real estate attorney cannot be overemphasized. The following is a brief summary of several aspects of the purchase and sale process and how an attorney can assist in that process.

Offer To Purchase:
The first step in purchasing or selling a property is the acceptance of an Offer to Purchase. Most often, a real estate broker prepares the offer on a pre-printed standard form. Although, attorneys are not typically involved in the offer stage, it is never a bad idea to consult an attorney to review the Offer. An Offer to Purchase should contain all of the terms involved in the purchase, including the purchase price, how it is to be paid, a description of the property being purchased, and any conditions of the purchase.

Purchase and Sale Agreement:
Once the Offer to Purchase has been accepted, a Purchase and sale Agreement is negotiated and drafted. It is a elaborated and complex document that must be tailored for each real estate transaction. To be valid, it must be executed in writing by all parties involved. The Purchase and Sale Agreement is the final agreement between the parties and generally supersedes the Offer to Purchase and any prior agreements between the parties. To avoid potential complications, it is better for both the buyer and seller real estate attorney to assist in the preparation and review of this document. Any mistakes or unintended consequences can cost either the buyer or seller thousands of dollars, result in the loss of the house immediately or in the future, or result in years of litigation.

Closing:
Closing involves a series of complex phases like, examination of the title, completion and explanation of legal documents, and resolution of any possible title defects. Real estate attorneys will conduct each of these steps. First, they examine the title records of the County Registry of Deeds and, in some case, the Registry of Probate where the property is located for prior conveyances, unpaid mortgages, liens, judgments, easements, and other encumbrances and clouds on title. They also verify that the seller has the authority to convey good title to the property and that there are no unpaid taxes, public assessments, and/or water and sewer charges which must be paid or pro-rated at the closing. Closing attorney next will combine all the relevant information into one set of closing documents and schedule the passing of the papers. The passing of papers provides an excellent opportunity for the buyer and seller to exchange information about the property, including delivering of keys, details of services such as trash pick-up, recreation, babysitters and other information most helpful to the Buyer. Once the documents are properly executed and recorded and the title search is updated, the closing attorney makes arrangements for the transfer of funds between buyer, seller and lender.

It is important to note that closings attorneys represent the lender and not the interests of the buyer or seller. Both buyers and sellers should consider having their attorneys involved in the closing process. The parties individual attorneys evaluate all legal documents affecting their client’s interest, make sure that clear title is transferred, review charges for consistency with estimates and provide counsel if any difficulties or questions arise.

When choosing an attorney it is important to select one who is customarily engaged in real estate practice and familiar with local real estate laws and practices. Hiring an attorney to ensure a safe and favorable transaction can give peace of mind.

In 3 months (or less) you can quickly and easily become a mini real estate tycoon… by flipping houses! Looking to increase your net worth? Read a guide that will change the Way you look at real estate investing forever at Flipping Houses 101.