How To Minimize The Risks Of Buying Myrtle Beach Short Sales

Myrtle Beach Short SalesMany investors would say that buying Myrtle Beach short sales is an excellent and cost-effective form of investment. However, even with enough proof, there are still a huge number of home buyers who are not sure about making the purchase. This is probably due to the many risks involved in buying a short sale home.

What are the common risks involved in buying Myrtle Beach short sales?

There are several risks involved with the purchase of a short sale home; but none that couldn’t be overcome with proper planning, the right contacts and connections, and an additional dose of perseverance. There are two common risks that you can expect in this specific type of real estate transaction:

  • Buying a property that need lots of repair and renovations – Basically, the main idea in buying a short sale is to purchase a property for less than the amount that a similar property is sold for in the current market. One of the primary risks involved here are the necessary repairs that come with the property. Short sale homes are sold in an “as-is” basis. So, since it’s a pre-owned home, expect to pay for some repairs and renovations before you can live in your newly bought home.
  • Lots of persons involved and approvals to acquire – Another risk that most homebuyers are worried about in a short sale transaction are the number of persons involved in the transaction. A short sale property is usually owned by the mortgage lender or lenders – depending on how many loans were put on the house. As the buyer, you will need to conduct transactions with all the mortgage lenders. You will need to present your proposal to them and get their approval, which isn’t always obtained easily because most lenders will want to consider other options to make money on the property aside from a short sale where they receive practically zero profit.

Minimizing the risks involved in buying Myrtle Beach short sales

If you really want to proceed with purchasing a short sale property but are worried about the risks involved, here are some tips to help you minimize the risk and ensure a successful short sale transaction.

  • Do your research. Obtain every bit of information about the short sale property that you can get your hands on. This will help you get a deeper understanding of the property that you are trying to purchase. You’ll know of all renovations and improvements it has undergone, any pending payments to insurance companies and mortgage lenders, and others.
  • Conduct a complete and overall home inspection. Hire a professional to conduct overall inspection on the property before deciding to purchase it. This will provide you with a detailed description of the property including every area that needs repair and every aspect that you would need to pay for on top of the properties price. You can then use these pieces of information to negotiate the purchase price and persuade the mortgage lenders to approve of your proposal.
  • Hire a real estate agent to help you conduct research and create your short sales proposal. Probably the best advice you can get is to hire a licensed real estate agent with experience in short sale to work with you in this transaction. Not only will the real estate professional guide you in every step of the transaction, but he or she will also make some of these steps easier for you. He or she has the right contacts to provide you with all the information you need about the property that you are purchasing. Also, most agents know of the best home inspection professional and other contractors you might need throughout the purchase process.

Jerry Pinkas Real Estate Experts has an extensive record in successfully completing several Myrtle Beach short sales transactions. Call them now to inquire about their services.

Jerry Pinkas Real Estate Experts
604 N. 27th Ave
Myrtle Beach, SC 29577

Your Myrtle Beach short sales expert.

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