After working diligently the last few month with short sale buyers I am pleased to announce that recently two of my Hawaii Home Buyers finally got approved for short sale properties! For most of 2009 it's been hard to get Hawaii Relocation clients into contract. For one, they are just relocating here to Hawaii and it's been a long trip and they just want to get into a home.
On the other hand, local area residents are already in a home and in these two cases they wanted to REALLY buy a home and had time to wait for a good deal and a home they can call their own. Short Sales are no easy picnic for the seller or buyer. The process is lengthy and in many cases multiple offers are being submitted or homes are not appraising at the offering prices.
A few tips for Hawaii Home Buyers considering short sale properties:
- Make sure you have the time and patience to wait for a short sale to get approved by the bank. If you don't then there is no sense wasting your, the agents, the seller and the bank's time. The short sale MUST be approved by the lender and just that process could take anywhere from two to four months and then another two to three months for the transaction process.
- Before you have your Realtor® write up that contract make sure that they check current comps (preferably the last three months) and that the property is listed in a comfortable price range. If it's too high it is not going to appraise and too low and the bank may not accept it anyway.
- The Lender most likely will request that the property be sold "As Is" and because of the sellers hardship they most likely will not approve any repairs or credits for repairs. They may not even approve of paying for the association documents, pest inspections, surveys and so forth. You may have additional costs to deal with so be prepared.
- There may be more than one offer due to the lower list price of the property (and condition) so as always...put in your best offer. If you looking to just lowball an already lower priced home then your killer negotiations will most likely lose the home you really love.
- Have a Professional home inspection even though the lender may not approve any repairs, remedies. It is in your best interests to KNOW what may need repairs and what you may need to fix. If there is structural, hazardous, electrical and plumbing issues that would take a considerable amount of money to remedy a home inspection will reveal all.
- Make sure you have a knowledgeable Realtor® who can explain the Short Sale Process and all that is typically involved in this type of transaction.
My buyers were well informed and are on their way to be happy homeowners.
How about you?
Celeste "Sally" Cheeseman is a Realtor-Associate with Century 21 Liberty Homes in Mililani, Hawaii. With a sharp understanding that a listening ear is the key to a client's needs, she serves the island of Oahu (Honolulu County) and all Hawaii Military Relocating to Hawaii, Hawaii Retirees, Hawaii Job Transfers and Hawaii Residents.
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Celeste "Sally" Cheeseman is a Realtor-Associate® and Certified Residential Specialist (CRS) with Century 21 Liberty Homes in Mililani, Hawaii. With a sharp understanding that a listening ear is the key to a client's needs she serves the island of Oahu (Honolulu County) and all Hawaii Military Relocations, Hawaii Retirees, Hawaii Job Transfers and Hawaii Residents, Home Buyers and Sellers.
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