For beginning investors, the concept of a short sale may still be difficult to grasp, but the basics are simple enough. Short sales happen when an owner is way behind on payments and at risk for foreclosure. Banks agree to the quick sale at a minor loss rather than risk a larger loss and more wasted time. In the end, a short sale is a tidy solution to a complex problem, and you can use hard money loans in Orange County to secure the property.
Faster Approval and Release of Funds
During a short sale, moving quickly is the most important factor. Once a seller goes into foreclosure, the bank has to pay multiple fees in order to take over the property. Chances are waiting for a bank to approve a loan and disburse funds will not leave enough time for the seller to complete a short sale. Foreclosure may be the only option left.
Hard money loans operate on a different timeline. Approvals may take just one business day or less, and the funds are ready to be released shortly thereafter. Private financing works much faster than banks, which ends up benefiting everyone involved in the transaction.
Turning a Negative into a Positive
Once a house hits foreclosure, the seller has reached the point where there is nothing left to do. As a result, the condition of the property begins to decline, leaving an eyesore in the neighborhood and potentially affecting the value of nearby homes. A short sale saves both sides from this fate, and the community benefits as well.
With a hard money loan in Orange County, investors have the opportunity to make something positive out of what could have been a nightmare for all parties. Quick loan approval and release of funds are exactly what these transactions require. Private financing from a reputable source such as PB Financial Group can help you get the deal closed faster.
For further information or questions about how we can help you please contact PB Financial Group at 323.935.5555 or visit www.CalHardMoney.com.
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