U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
 
Old 03-26-2009, 01:08 PM
 
38 posts, read 166,360 times
Reputation: 13

Advertisements

My husband and I are looking to purchase our first home. Unfortunately, after many weeks of looking, the only one we love happens to be a short sale. To double the potential problems we face, we are taking an FHA mortgage that requires their appraisal to be valid. Knowing the lengthy timelines associated with short sales, at what point in this process should we begin to move forward with inspections/FHA appraisal/final mortgage paperwork? The house is in immaculate condition, but we did notice a couple shingles on the roof that look to have broken/blown in a storm, so it may need a patch - will this need to be done for approval, and if so would the mortgage company allow us to get this work done ourselves prior to close?
Reply With Quote Quick reply to this message

 
Old 03-26-2009, 01:11 PM
 
Location: MN
761 posts, read 2,964,150 times
Reputation: 440
Subscribing- In same situation!
Reply With Quote Quick reply to this message
 
Old 03-26-2009, 08:45 PM
 
Location: San Jose (Willow Glen)
180 posts, read 627,379 times
Reputation: 96
You shouldn't start your inspections, appraisal, etc... until you have a full approval from the 'shorting' lender (s). Make sure you get your agent to ask to see the short sale approval letter and make sure that the numbers add up and that there isn't a prommisory note to the seller (if there is, make sure the seller is aware and okay with it).

If everything looks good, then move forward like it's a regular transaction. If there are repairs needed, you will be able to have them completed prior to COE at your expense since pretty much all short sales are 'as is'.

Good luck.
Reply With Quote Quick reply to this message
 
Old 03-27-2009, 09:35 AM
 
77 posts, read 269,447 times
Reputation: 25
In the exact same situation. Everything is our range were short sales. Our offer was recently accepted by the seller out of about 3 contracts. Seller's lawyer said they were pretty far along in the process and all we needed to do was have the bank approve our amount offer which was 10k over asking. I would not spend any money on the house for turning on the ultil or inspection until you get an approval letter from the bank. We almost did inspection to show we are serious about the house and to be able to cancel the contract if inspection came back bad to not waste out time waiting. 2 weeks later we found a better place that wasn't a short sale and canceled the short sale contract so thank god we didn't get that inspection. Oh and the lawyer said his client who owns the house took off to Mexico.

My tip is if you like the short sale houses put the offers in but keep looking do not waste time waiting on it. Once you're under contract with one SS maybe try to avoid looking at anymore and stick to REOs and reg sales. And don't get atth to the SS homes.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
Similar Threads
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2018, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top