Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Preliminary Title Report May Be Needed Even For All Cash Short Sale Buyers

With the Bay Area real estate market running in overdrive (or overbuy) and buyers flocking at every open house, it may behoove short sellers (and listing agents) to give the once over to a possible buyer. Of course, most sellers and listing agents require a pre-approval or proof of funds for any offer. Those items might not be sufficient for a short sale or REO.

Why you ask? If a person will pay all cash and has the funds and can prove it then you figure that the buyer would be a slam dunk to purchase.

You can say banks have become a little too Big Brother as many if not all banks ask for the buyers social security number for short sales and REOs. We can get into various privacy issues but one main reason that the banks use the info is to see what real estate history the buyer has.

Did the buyer have a foreclosure in the past year or so? If so, the bank might not allow the buyer to purchase – all cash or not. We know one short sale that fell apart not because the all cash buyer didn’t have the funds but the bank found that the buyer had a foreclosure with their bank in the past year.

Preliminary Title Report On The Buyers Can Protect Short Sale

What can short sale homeowners and agents do so that they do not get caught in this predicament? Have your title company run a preliminary title report on the BUYER. Yes, title companies can do this. It may be a rare case when anything appears that would jeopardize a short sale or REO transaction but as the saying goes – better to be safe than sorry.

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

Running A Preliminary Title Report For Short Sale Buyers

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Filed under Banks, Foreclosure, short sales

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