Short Sales in Lake Tahoe, California – Short Sale Buyer Tips
Everyone wants a deal these days, and one way to do that is to buy a short sale, or bank foreclosure (REO – Real Estate Owned ) home, or condo in Lake Tahoe, California.
So here are some Quick Facts and Short Sale Buyer Tips for you.
North Shore, Tahoe City, West Shore, Lake Tahoe California (TSMLS Areas 1-5) Homes Sold in 2011:
Total Homes Sold – 257
Short Sales Homes – 34 (13%)
REO (Bank Foreclosures) Homes – 39 (15%)
Total Short Sale and REO Sales for Homes Sold in 2011 were 73, or 28% of the homes sold were distressed sales. That works out to 1 out of every 4 homes sold last year.
Short sale listings in the Lake Tahoe area (TSMLS Areas 1-5) that were listed in 2011 had a 67% closure rate with the first accepted offer.
Short Sale Buyer Tip #1: Be the First Accepted Offer. There is an advantage to being the first buyer that can work out a deal with the short sale seller. Working with a local Tahoe REALTOR® that has short sale experience can help you figure out the right negotiation strategy for you.
Short Sale Buyer Tip #2: Know the Fair Market Value (FMV) of the property. It doesn’t matter what the listed price is on a short sale home. The listed price may be too high, or too low. It’s all about Fair Market Value (FMV).
The short sale lender is all about their policies and procedures, which means the sales price needs to be close to the FMV. Contrary to popular opinion, this isn’t a game of negotiating with the lender on price, or playing the percentages based on a book you’ve read, or a seminar you’ve been to. Real estate is a local market, and you have to know where that market is at so you can present an offer that will appraise for that property.
An experienced short sale Buyers’ Agent understands how FMV is established in the Tahoe market and how the short sale process works. They can help you step-by-step. Knowing how a Broker Price Opinion (BPO), or how an appraiser will view comps in the area is important to understanding where the FMV will potentially be for a short sale property. The FMV is a critical step in getting a great deal, and getting the lender to agree to participate in the sale.
Short Sale Buyer Tip #3: Short Sale Listings with more than one loan – Talk to your REALTOR®. If there is more than one loan involved in the short sale, talk to your REALTOR® as to what to expect and what type of negotiation you will need to do. The pricing process can be different when there is more than one lender involved.
Short Sale Buyer Tip #4: Only focus on “Active” short sale listings – skip over “Active Contingent” listings. “Active Contingent” status means the short sale seller has already accepted another buyers offer, but the lender hasn’t given their approval to participate in the short sale. With only a 33% cancellation rate, your time will be better spent on short sale listings that are available.
Short Sale Buyer Tip #5: Be prepared to wait. Once you have an accepted offer, expect the short sale escrow process to take some time. Do check in every week with your agent, and make sure your agent is checking in with the listing agent.
Short Sale Buyer Tip #6: Be prepared to act quickly. The short sale process is all about the seller and the sellers’ lender and accommodating their time schedule and their demands. It may be a buyers’ market, but a short sale is still all about the seller and that’s how you’ll get a great deal if you can play by their rules.
Ready to buy a short sale Lake Tahoe home? Want to know what short sale properties are currently for sale?
Short Sale Lake Tahoe Condos for Sale:
Short Sale Lake Tahoe Homes for Sale:
Not all area may have short sale listings. If none are available the search link will come back with zero results. If you’d like to be notified of new short sale listings in an area, let me know and I will set you up to be notified immediately.
Here is what is currently for sale (all property statuses, not just short sales):
If you’d like more Lake Tahoe – Truckee, California real estate information, read Tahoe Laura’s Luxury Homes most recent real estate newsletter.
Note: Year-to-date summaries are based on information from the Tahoe Sierra Board of Realtors (TSMLS). Due to TSMLS reporting methods and allowable reporting policy, this data is only informational and may not be completely accurate. Therefore, Laura Allen, or Coldwell Banker Residential Brokerage does not guarantee the data’s accuracy. Data maintained by the TMLS’s may not reflect all real estate activity in the market. All information is deemed to be reliable, but is subject to change and/or correction without prior notice. Data Source – Tahoe Sierra Multiple Listing Service (TSMLS). If your property is currently listed for sale, or you have an active Buyer Representation Agreement, this is not intended as a solicitation.
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All information is deemed reliable, but is subject to change, and/or correction without notice.
Short Sale in Lake Tahoe, California – Short Sale Buyer Tips