Short Sale Vs. REO/Foreclosure
SHORT SALE
- Homeowner owns the property
- Buyer enters into the executed contract with the homeowner, subject to lender approval
- Property is generally occupied by the owner or tenants
- Sold As Is
- Timeframe from execution of contract: Can be anywhere from 2 to 6 month or more depending on the lender.
REO/FORECLOSURE
- Lender owns the property
- Lender enters into the executed contract
- Utilities are often disconnected and the property maybe winterized
- Property is vacant
- Sold As Is
- Timeframe from execution of contract 2 weeks (cash deal) to 30 days depending on the lender.