GayRealEstate USA

Real Estate Terms Defined -- Short Sale

By Jeff Adolph

Real Estate Terms

Short Sale - this term is used in real estate when a home is being sold for less than the mortgaged amount that is owed on the property.

Typically, a short sale occurs when a property owner can longer afford to repay mortgage payments. The lender who does not wish to go through a lengthy foreclosure process may then elect to opt for a short sale, where the property is sold for less than the mortgaged amount. This way the lender is able to recoup the majority of money that is owed to them.

In agreeing to a short sale the lender agrees to let the mortgagee out of their obligations for the price the home is sold for. This means that even though a home is sold for less than what was owed, the mortgagee will no longer owe any money on the property.

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© 2006+ Jeff Adolph GayRealEstate USA

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By Jeff Adolph

Real Estate Terms

Short Sale - this term is used in real estate when a home is being sold for less than the mortgaged amount that is owed on the property.

Typically, a short sale occurs when a property owner can longer afford to repay mortgage payments. The lender who does not wish to go through a lengthy foreclosure process may then elect to opt for a short sale, where the property is sold for less than the mortgaged amount. This way the lender is able to recoup the majority of money that is owed to them.

In agreeing to a short sale the lender agrees to let the mortgagee out of their obligations for the price the home is sold for. This means that even though a home is sold for less than what was owed, the mortgagee will no longer owe any money on the property.

Image Source: Microsoft Clipart

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© 2006+ Jeff Adolph GayRealEstate USA

Proudly Sponsored By:

 

By Jeff Adolph

Real Estate Terms

Short Sale - this term is used in real estate when a home is being sold for less than the mortgaged amount that is owed on the property.

Typically, a short sale occurs when a property owner can longer afford to repay mortgage payments. The lender who does not wish to go through a lengthy foreclosure process may then elect to opt for a short sale, where the property is sold for less than the mortgaged amount. This way the lender is able to recoup the majority of money that is owed to them.

In agreeing to a short sale the lender agrees to let the mortgagee out of their obligations for the price the home is sold for. This means that even though a home is sold for less than what was owed, the mortgagee will no longer owe any money on the property.

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Real Estate Terms Defined -- Rollback

By Jeff Adolph

Real Estate Terms

Rollback - In real estate, the term rollback refers to the price of a property being cut in order to encourage a sale. For example - a property that may have been put on the market for $850,000 some months earlier, may be reduced by $150,000 to stimulate buying interest. 

According to an article published on TwinCities.com in February of 2009, a builder in Elk River, who originally advertised a four-bed-roomed property for $849,000 recently reduced the price by almost $350,000 to shift the property.

In addition to this, a property that was listed for a short sale was reduced to $398,500 in November of 2008, after it had been originally listed for $574,900 in September of 2008.

Sources: Snowbeck, Christopher (2008) Home Price Cuts Run Deep: How Does $350,000 Off Sound?; available online at http://www.twincities.com

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© 2006+ Jeff Adolph GayRealEstate USA

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By Jeff Adolph

Real Estate Terms

Rollback - In real estate, the term rollback refers to the price of a property being cut in order to encourage a sale. For example - a property that may have been put on the market for $850,000 some months earlier, may be reduced by $150,000 to stimulate buying interest. 

According to an article published on TwinCities.com in February of 2009, a builder in Elk River, who originally advertised a four-bed-roomed property for $849,000 recently reduced the price by almost $350,000 to shift the property.

In addition to this, a property that was listed for a short sale was reduced to $398,500 in November of 2008, after it had been originally listed for $574,900 in September of 2008.

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Real Estate Terms Defined -- Closing

By Jeff Adolph

Real Estate Terms

There is nothing more frustrating than being unfamiliar with the terms of a specific industry, especially when you have not dealt with the term previously.

Real estate, like many industries is fraught with unusual terms that many people have not encountered before, or if they have, these terms may have a varying meaning in the realty world.

So to save you the frustration, in the coming weeks GayRealEstate USA will define some real estate terms that you may encounter.

Today's word is CLOSING.

CLOSING is also known as settlement in some regions of the United States, and overseas. The word closing, in realty, simply means the final transaction, where money changes hands, and the new owner of the home in question is then able to move into their newly purchased residence after the transfer of the property's title deed.

A closing or settlement date is usually decided between the buyer and seller of a home, during negotiation of the sale, and this date is then stated in the real estate contract. 

Closing in America involves the buyer, seller, and title company in the Western states, as well as the real estate agents in the Eastern states. All parties are present for the dispersal of funds and title deed transfer.

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© 2006+ Jeff Adolph GayRealEstate USA

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By Jeff Adolph

Real Estate Terms

There is nothing more frustrating than being unfamiliar with the terms of a specific industry, especially when you have not dealt with the term previously.

Real estate, like many industries is fraught with unusual terms that many people have not encountered before, or if they have, these terms may have a varying meaning in the realty world.

So to save you the frustration, in the coming weeks GayRealEstate USA will define some real estate terms that you may encounter.

Today's word is CLOSING.

CLOSING is also known as settlement in some regions of the United States, and overseas. The word closing, in realty, simply means the final transaction, where money changes hands, and the new owner of the home in question is then able to move into their newly purchased residence after the transfer of the property's title deed.

A closing or settlement date is usually decided between the buyer and seller of a home, during negotiation of the sale, and this date is then stated in the real estate contract. 

Closing in America involves the buyer, seller, and title company in the Western states, as well as the real estate agents in the Eastern states. All parties are present for the dispersal of funds and title deed transfer.

Image Source: Microsoft Clipart

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Click on Comments below and share your thoughts and opinions, ask a real estate question or offer story suggestions...

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© 2006+ Jeff Adolph GayRealEstate USA

Proudly Sponsored By:

By Jeff Adolph

Real Estate Terms

© 2006+ Jeff Adolph GayRealEstate USA

Proudly Sponsored By: