Nathan Tutas

What About Buying A Central Florida Short Sale

Wave Off? No Way...Land That Thing!!!I recently had an international investor email me and ask me the following question: "Do you think Central Florida short sales are a total NO-GO?" Apparently he had heard some horror stories

about short sales, and he wanted my opinion about whether we
should include them in his property search. Here was my answer. I hope you find it to be helpful.


Short sales are actually starting to speed up a bit already. Some of the banks are converting to electronic admissions using the Equator system. This will help the banks speed the short sale process.
As for the trend, short sales are going to be with us for a very long time. There are
thousands of home owners across Central Florida who owe more on their
mortgage than their property is worth.
This will be the case until home
prices climb back up to where they were before 2006.


This could take five years, or it could take ten. There is no way of telling how long it will take, but the prices will climb.


There are two issues that you must understand when buying a Central Florida short sale. The first, obviously, is the fact that the sale is contingent on the seller's lender approving the sale. This means that once
the bank starts to work the file they are going to have a market
analysis done on the property. If the offered amount is lower than the
analysis, they will most likely try to renegotiate the price. If
the buyer doesn't come up to the fair market value (in the bank's
opinion) of the property the lender will reject the sale and the buyer
has wasted his time, as has the seller.


The second issue is the time it takes to close. We have to be patient and wait on the bank to start working the file. This can take a few months. Once the bank approves the short sale, the deal can usually close within 30
days.


With all that said, there is absolutely nothing wrong with buying a short sale if you are willing to wait for the bank and you are willing to offer fair market value for the property. Many investors are stuck in a rut thinking
they can negotiate a deal the same way they could before 2006. In the
current market, this really isn't a possibility.


For a short sale, you have to offer fair market value to get the sale approved. For a foreclosure, the properties are already listed below market value because the banks want to sell as quickly as possible. If you
don't offer at least the listed price on a foreclosure you are wasting
your time. They won't accept less, and they don't have to.
They will sell for more than list price.


There are currently 3,622 homes for sale in Kissimmee, Davenport, and Poinciana. Of those; 1,713 are regular sales, 455 are foreclosures, and 1,454 are short sales. So, as you can see, more than half of these homes are either
foreclosures or short sales. This means understanding the
market and knowing how to take advantage of it is essential to the
buying process right now.


Keeping all of that in mind, there are some great homes for sale in Poinciana Florida, Kissimmee Florida, and Davenport Florida for great prices. There is no room for haggling, but you really don't need to. The deals are
out there already.

My advice to you would be; if you understand the market as I've explained it, we can go ahead and
include short sales and foreclosures in your property search.


All data was retrieved from the Mid Florida Regional MLS and is believed to be accurate.


Photo courtesy of Roy Mac at Flickr.

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Tags: Sales, Short, buyers

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Bryant Tutas

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628 Grand Canal Dr

Poinciana, FL 34759

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"Over the course of the last 12 months, I have bought 4 condos in Orlando with Nathan. I think that speaks volumes, because if I wasn't satisified with his service on the first one, I could have easily walked and went with another realtor in buying my other condos. Nathan is dedicated and hard working, definitely an agent that can be trusted if anyone is buying or selling real estate in the Orlando area." William Wong - Canada ___________________________________________________________________________________________________________________________________________________________________ "Building up trust and a relationship is absolutely vital to securing a great result all round. When I first started waving a bunch of pound notes around in the air and inquiring about a few properties, as you can appreciate, I was absolutely inundated with different Realtors contacting me and vying for my business. In the midst of it all was Nathan Tutas. As time went on, the emails started flowing and little by little most of them fell by the wayside... probably narked at the fact that here I was, a guy who wasn't just gonna hand over a bunch of cash to the first property recommended to me. I asked questions...BOY did I ask questions! And Nathan came back to me each and every time until it became clear to me that I would only be doing business with one cat out there! He made it easy to buy a house out there. I had contact from one seemingly professional, large company who thought that all they had to do was 'book me an appointment' for when I was out there and they'd not contact me until then, and then sew up the sale... EERR nope, dont think so Mr... you gotta put some effort into your work to get my business! Anyway what I am trying to say is that we built up a fantastic working relationship and knew when to be serious (or grumpy and insistent in my case!) and when to have a laugh and those 50+ house viewings just flew by. Me and my buddy not only secured a fabulous house but I learned plenty about the market and different places that the next purchase will be a doddle for us! And of course who will I be going to for the next purchase? you guessed it...the one who made the effort to actually sell something to me rather than someone who just threw a few houses at me and expected me to buy one. Likewise I left the states with a nice taste in my mouth and you can be assured that when someone asks me to recommend someone, Nathan will be the first name I speak. By our last day in Florida we had already secured a good property...which was OK...but there was something we wanted more...another house we'd seen on day one. Because of the relationship Nathan had built up with me he knew my mannerisms and knew that I wasn't messing around when i put that serious head on, looked him straight in the eye and stated..."I'm not getting on that plane until I am fully satisfied we have done everything we can to exhaust the sale on the preferred house." And the rest as they say is history. When I was initially doing my homework on Nathan (net-stalking more like!!) I noticed something he had on his website.... "if you do something you enjoy, then you'll never have to work again a day in your life" or something similar..... he is right! And I am a very driven person in business and I can tell you that, put the newly found friendship aside...THIS is the way I like to do business." Paul DeAngelis - London, UK __________________________________________________________________________________________________________________________________________________________________ "For years now my Wife Karen and I have dreamed of owning a vacation villa in Florida. Barring a lottery win we felt it would always be just that ... a dream. The U.S. property market is currently at an all time low, providing investors with great opportunities. Thanks to Nathans' constant hard work and attention our dream became a reality this summer and we now proudly own a beautiful home in Davenport. Living in UK meant everything had to be done by phone and internet, you need to really trust your contact for this. Nathan kept in constant touch with us, emailing and phoning and arranged viewing for our first trip over. We thoroughly enjoyed this and soon found a number of suitable properties hand picked by him and his lovely wife Amanda. Every step of the way we knew our money was in safe hands and on returning to FL for the closing, which was less than 4 weeks, were surprised to find it had all been organized with nothing for us to do apart from celebrate. We had a fabulous experience and intend to buy again one day, also recommending to friends here in the UK, and can only speak the highest praise of Nathan and Amanda who are no longer just our agents but now our friends. Thanks guys for all your attention and for helping us realize our dream." Ian Wilton - UK ______________________________________________________________________________________________________________________________ "In October 2009 my husband, two children and I made our 3rd visit to Florida. It was during this time we had many discussions on purchasing a property in the area for us to enjoy but also as an investment and business to do short term holiday lets. On our return to the UK we spent many hours searching web sites, looking at property and reading up about the buying process in Florida. We were soon receiving e mails and calls from a number of companies, but none of which were a huge help to us. In August 2010 we decided to “Go for it”. We have a friend who is a freelance travel consultant. We discussed with her that we may be looking to purchase a property in Florida. She then suggested we spoke with one of her clients, who had also been in our situation and is now the owner of a home in Florida and planning to buy another. We met up with the gentleman who was very helpful and he then put us in contact with Nathan Tutas. We were blown away with how helpful, professional and kind Nathan was. He explained the buying process to us, he communicated with us continually, NOTHING was too much trouble. Nathan listened to our needs and requests; he mailed us daily with homes to look at. When we had finally found the house of our dreams Nathan was our eyes and ears. Being so far away we put our trust in Nathan. He viewed the property for us, took many photographs, described the area, although we knew the area in which it fell and he oversaw everything for us. He could not have been any more helpful. We were successful in buying the property; however we could not have done this without the support and guidance that Nathan gave us. He worked hard for us and made the whole buying process easy and stress free for us. I would highly recommend Nathan’s company to anyone who is looking to buy a property in the Florida area. He puts the British agents to shame! He has become a good friend to us and we are looking forward to meeting him in person very soon. Thank you!" Karen & Andy Lavis - South Gloucestershire, UK __________________________________________________________________________________________________________________________________________________________________ "This guy didn't know me from Adam, we had never met and I had a very small budget. However this didn't stop Nathan from providing me with a first class service. Thanks to Nathan's daily updates, local research and personal service I now own a nice condo in a well maintained community and I'm convinced that I purchased at a significant discount. The most important factor when purchasing an investment property is the people you trust to give you the required guidance and local knowledge. I've been investing for almost 10 years and I can assure you that Nathan has all his bases covered. Keep up the superb work." Mark O'Connor - London, UK

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