subject: Critical Mistakes That Real Estate Investors Make in Short Sales [print this page] Author: Terry Wygal Author: Terry Wygal
If you are looking forward to make money with short sale in real estate, it is crucial that you understand how to complete a short sale in the easiest, safest and profitable way. In order to be successful in this venture you must look out the critical mistakes that most of those who fail have committed while doing short sales. Not planning up beforehand is just one of the mistakes you should watch out. Many make the mistake of purchasing a house as it appears to be a good deal and then trying to see how they can suit it into their plan. It is important to determine what you're getting into before buying a short sale or foreclosure property and be aware of these critical mistakes: ignoring property problems, falling hard for a bad home, skipping the home inspection, leaving too little time for closing, and ignoring legal and insurance information. These are just few of the pitfalls you should avoid if you wish to make money in short sales. In addition to that you have to exercise a certain degree of caution and take earnest efforts while making a deal. A short sale is also dependent on a buyer who is making an offer to buy. If you don't take in an offer, you will not be able to qualify for a sale. Thus even if you have met all the other criteria, it's possible that no one will purchase the short sale. One common misconception that occurs is that many investors believe that homeowners who are facing foreclosure are already a short sale candidate. Basically, you must be able to know if you have a short sale opportunity or you will just end up losing money and committing the dreaded mistakes in short sales. Short sales aren't always the solution to every home owners troubles. Analyze and carefully examine the deal and make a point that it is good for the homeowner, for you and for the bank. Always remember that in order for a deal to be win-win situation, the seller needs to get out from under a debt with no ensuing tax consequences. On the other hand, the lender must sense that they're getting the most net worth possible and you would like to pocket a decent profit. This is possible since here are thousands of properties out there. Be sure to find one, follow a comprehensive plan, and stick to that plan. Take note of the mistakes that real estate investors make in short sales and there is no doubt you will be successful.About the Author:
Real Estate Investing Expert and SEO Expert Terry Wygal, The Quick House Buyer interviews Cory Boatright in a cutting edge real estate training series dedicated to Short Sale Fundamentals. The training is all Content and Pitch Free. To listen to his interview with Cory on How to Automate Short Sales register for the calls right now.
