It's no secret that the real estate market in the U.S. Has felt the pains of the unfortunate economic climate that has plagued much of the Untied States and many of its residents. Florida and Brevard County are certainly no exception. What this means to the home buyer, or real estate investor is many properties available at discounted prices, often below market value.
Below, we offer a general explanation of these types of transactions. However, with so many variables surrounding the sale of the properties in this unique situation you should always procure the services of a Florida real estate agent with experience in these types of transactions. David Curri is your Florida Realtor for foreclosures, bank owned properties, short sales And Other Great Deals. Call David today at 1-855-BREVARD!
When a mortgagee (property owner) defaults on a loan or mortgage where the Mortgagor (bank or mortgage company) has loaned money using a property as collateral for the loan, the mortgagor has no choice but to repossess (foreclose on) the property in question in order to recoup the monies they loaned. Foreclosures typically go to auction.
Many times the mortgagor will offer their foreclosure acquisitions at auction in an attempt to recoup the monies owed on the property. Oftentimes, many foreclosed homes on the auction block fail to reach their reserve price and a sale is not effected. In this case, the mortgagor will take full ownership of the property, and put it on the market for sale. Oftentimes they will make improvements to the property in an attempt to bring the condition of the home or property to market value.
A short sale is typically a transaction in which the home or property being offered is worth considerably less than the amount owed. These sales are typically effected when the mortgagee can no longer afford the payments, and is in danger of falling into foreclosure. The mortgagor will agree to accept the lower price and take a moderate loss in order to avoid the foreclosure process.
As you can see, these types of sales can translate into huge savings for buyers, but you should not enter into this type of real estate transaction without the assistance of an experienced Realtor. David Curri has extensive experience in these and all types of Florida real estate transactions. Call David today at 1-855-BREVARD!