For Beaufort SC Home Deals, Look Beyond Foreclosures & Short Sales

Short sales and foreclosures are on everyone's minds these days. As we mentioned in a recent blog, a foreclosure involves the sale of a property which is owned by the bank, which took back the property after the owner defaulted on the mortgage, while a short sale involves the sale of a property which is still owned by an individual, but is subject to approval by the owner's lending institution because there is a gap between what the property is worth and the outstanding mortgage on the property.

With so many foreclosures and short sales on the market in Beaufort, SC, it is tempting for a prospective buyer to focus only on these type of properties. After all, that is where the best values are.....right?

Not necessarily. A property does not have to be a short sale or a foreclosure to be a great value.

There are plenty of great real estate opportunities in Beaufort, SC right now that the owner does not owe a penny on, because he paid cash when he purchased. If that owner has the right motivation, he has the ability to make a potential buyer a heckuva deal.

Let's take a hypothetical homesite in Habersham, a neighborhood along the Broad River in Beaufort. Habersham has some of the best amenities in Beaufort, from the boat launch, boat storage and boat dock, to the children's playground, river-front pool, and tennis center.

Let's say this property owner paid $140,000 cash for this homesite a few years ago At one time, his intent was to build his retirement home in Beaufort, but those plans have changed. In the meantime, this owner is tired of paying several thousand dollars in property taxes each year, and the $1000 or so to the homeowners association. He just wants out, and he wants to recoup what he can from the property.

This is a great example of a property owner who has the ability, if he chooses, to sell his property for much less than market value, and without having to ask permission from the lending institution. He may need to ask permission from his wife, but he does not need to ask permission from anyone else.

When you contact your Beaufort, SC Realtor, don't  just focus on foreclosures and short sales. There may be some other incredible opportunities out there for you. In fact, in the notes on our Multiple Listing Service, listing agents will often include language like "this is not a short sale." This language usually means that the owner has the ability to slash the price of his property, without bank approval. Anyone who has ever been involved in a short sale knows what a headache it can be.