Normal Owner Sale:
This is a equity positioned owner who is 'willing and able' to repay any existing liabilities on the home if applicable. The key advantage to a prospective purchaser is the response time with most offers being acknowledged and accepted on the the same day. The closing date is negotiable but it is customary for a home in this position to complete within 5 – 30 days.
Short Sale:
A Short Sale is where the existing owner has liabilities that exceed the property value. A seller can explore the option of a short sale with their lender(s) but have no guarantee that an offer will be accepted. Consequently a buyer has no guarantee (even with a full price offer) that this will proceed, if an offer is lower than the comparative recent sales the lender will usually request that you either increase your offer or it will be declined. Short sales normally take around 60 – 180 days but in many cases will take much longer.
Bank Owned / REO:
Bank Owned / REO (real estate owned) properties are homes that have been foreclosed upon / repossessed by the existing lender. This means the lending institution now owns the property and has listed the home in the market for sale. Bank owned homes can come in various states or repair so the buyer must be dilligent with all inspections. Bank owned homes are normally 'as is' which means no repairs will be carried out by the seller. Also be prepared to show funds in place when putting forward an offer. Usually an aggressively priced home listed in this manner will receive multiple offers and many of these homes will sell for above the listed asking price. The time frame for a bank owned averages 30 to 60 days.
What is short term rental?
A community 'zoned' for short term rental permits the owners of a property to rent to guests on a nightly, weekly or monthly basis without any minimum rental period requirements. The counties of Lake, Osceola and Polk allow all styles of homes to be zoned this way. However please be aware that certain communities may not allow short term rentals and you must always check with the individual Home Owners Association of the community where you are considering purchasing to ensure this is permitted. Orange County only permits short term rentals for condominiums and townhomes but again you should check with the relevant Home Owners Association if the reason behind your purchase is to rent the home to guests on a nightly and/or weekly basis. Irrespective of a countys' specific zoning rules an owner is of course permitted to live full or part time in a home subject to the individual Homeowners Association rules.
