How long does it take....?
I am trying to learn as much about short sales as possible. So, or course, there are some questions:
1. How long does a short sale typically take from start to finish?
2. If a typical discount is 82-88% of "as is" value, short of buying with your own cash, how is it possible to proffit on these? Of course in the utopia world that exists in articles written for these types of web sites they start of biding at about 60% of the FMV, and end up paying much less that 80%. I don't think they are lying, I think I am just missing something.
3. Does anyone have a good resource to get all of the information necessary to do this type of deal. I don't want a primer, I want good solid information. I am happy to pay a fair price for this informtion, but I can't pay $79 for an introduction. It seems that anytime I spend money, the only thing I buy is more questions.
As always, thanks in advance to anyone willing to address any of these questions. Your time and thoughtfull responses are valuable and appreciated. Also, anyone in Atlanta, lunch is on me for the trouble of sharing any good information. Email and we will set it up.
Kevin
1. Anywhere from 90 days to 180 days
or more, depending upon how
compelling, comprehensive, and
qualified your application and
Proposal.
2. 82% to 88% of FMV is a pretty accurate
assumption. How you are able to profit
is determined by experience, and your
investment criteria.
3. You must first learn to walk before you
can run. Once you learn to run, it's good
to know in what direction to run, or if
running is even indicated, lest you run
off a cliff.
If it takes that long, then I would assume that by the time you find out about a pre-foreclosure in the legal ads in the paper, there is not enough time to conduct a short sale. Or, is the bank willing to delay foreclosure so that the transaction can take place? If not, would the only way to get a short sale be to find someone extremly early in the process?
As far as making any money with these, if the discount is 82-88% of the "as-is" value, how does as-is relate to the fair market value? In other words, if I wanted to offer 80% of the "as-is" value, how would I determine what this value is?
Walk before you run? Heck, I can't even seem to stand up!
Thanks again for any help with the above questions.
Kevin