Phoenix Condo Buyer information> FAQs: Negotiating, Pricing and Financing ...

A short sale in the community I like is listed for $100,00 less than any other listing in the community.  Why?

AH, the joys of short sales.  Remember that short sales must be approved by the seller's lenders.  In most cases, the lender(s) have not approved the price the listing agent has set for the home.  Some listing agents price very low to get multiple offers for the condo.  Offer prices on short sales must be reasonably close to the lowest priced units that have sold recently in the community - if not, the bank will not approve the sale and you'll have wasted a month or 2 of your time and effort waiting for a low probability event.

Can I ask the seller to pay for my closing costs?

Yes. This is a good option if you want to conserve cash for a downpayment or other uses. Closing costs can average average 2-3% when a lender is involved, depending upon the fees your lender charges (make sure you get a good faith estimate).

Can I get bank-owned properties for sale 30% off list price?

Beware of advertising that states that you can get a home for a huge amount "off list".   The advertiser can manufacture his own "list" price.  But in general, bank-owned properties are priced very close to what they will accept for an offer.  Sometimes they will price a property extremely low in order to pull in multiple bidders.  In those case, you may need to offer OVER LIST to win in a bidding situation.  We'll use our experience in handling condos and bank-owned sales to help you determine the right price to bid for a property.

I want to buy a condo with FHA financing (3 1/2% down), but I don't like any on the FHA approved list. What can I do?

In general, you'll have the best chance of success buying in an FHA approved community.  But if there is a community you like that is not FHA approved, and that community is relatively healthy (few foreclosures, stable HOA), we may be able to help you get an FHA approval for a condo community.  

Full approvals take extra time that may extend your escrow period.  There may be a chance that the spot approval fails, often because of the owner-occupied requirement.  Patience and commitment will be required to go this route.

There may be some other options that we have pursued with our clients instead of FHA financing.

 

Why should I get pre-qualified for a loan?  I know I have good credit.

Lenders are getting much tougher after the loose credit standards a few years ago.  Good credit is only one aspect of being able to get a loan at a good rate.  Some difficulies our clients have had - bad financing rates for a "third home," condos being turned down for FHA spot approvals, high jumbo loan rates, documentation required for other income not related to your job.  Don't wait to be surprised.

 

 

 

Google Custom Real Estate Search

The Fair Housing Act prohibits discrimination in housing based on color, race, religion, national origin, sex, familial status, or disability. Information Deemed Reliable But Not Guaranteed. The information being provided is for consumer's personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.

This information, including square footage, while not guaranteed, has been acquired from sources believed to be reliable.

ARMLS Logo indicates a property listed by a real estate brokerage other than Contigo Realty. All information should be verified by the recipient and none is guaranteed as accurate by ARMLS. Based on information from the Arizona Regional Multiple Listing Service. Copyright © 2010. Arizona Regional Multiple Listing Service, Inc. All rights reserved.

Last Updated: 2010-09-02