We understand how frustrating it can be to search for a home in Austin. Half the battle is learning the key terms and what they mean in regards to Texas real estate. So each week we bring you Key Term Tuesday – our way of helping you decode the industry jargon that keeps you from owning your home search.
A short sale is a descriptive term in real estate not a legal term. It describes a situation where the owner (borrower) is attempting to sell their home for less than the property is worth. Hence, it is “short” what is needed to settle the debts on the property. Short sales attempt to avoid the process of foreclosure, but they can only be executed with approval by the lender.
The common myth is that lenders will take any amount of money on a short sale simply to be rid of the liability. In fact, lenders closely weigh the choice between accepting a short sale or taking the property back through foreclosure. This makes the process complicated, time consuming and uncertain. Only about 1/3 of the proposed short sale transactions actually close escrow.
If you’re looking for short sales or foreclosures, our market reports can show you why you should only make this one piece of your home buying strategy.
Looking for a Real Estate Expert?
Our team has a combined 55+ years of experience helping home buyers understand the r. Check out our approach to Buying a Home in Austin to learn more about our team and how we work. Then, call us at (512) 827-8323 or email us at info@11OaksRealty.com to schedule a no obligation consultation.