Short Sales Are Around Every Corner

You've probably noticed the phrase "short sale" (pre-foreclosure) popping up in home listings and newspaper advertisements. If you're scratching your head and wondering what this means, you're not alone.

For years, few sellers were stuck in short sale situations because homes were selling like hotcakes, often over list price. But in many areas of the country, the market has cooled. Combine a falling market with over-encumbered properties and rising interest rates, and you have the perfect recipe for short sales to sprout like dandelions in neglected yards.

An agent called me a while back because several of my listings turned up under his search for "short sales." There were so many short-sale listings in MLS that the agent panted excitedly, "It's like Christmas!" He was practically hyperventilating over the phone. His millionaire client directed this agent to bring him every short sale with at least $50,000 of equity. Investors are on the lookout for short sale possibilities right now because they believe the time is ripe to make money in those markets. But before you jump on that bandwagon, do your homework . . . read more.

More Short Sales Articles by Elizabeth Weintraub, click below:

• Short Sales Effect on Credit
  
• Tax Ramifications of Short Sales
  
• Short Sales' Profits

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