Real estate markets are constantly in a state of flux, with new procedures and terms arising to cope with new influences. If you've been looking at buying or selling Oshawa, Ontario real estate or a home here in Omaha, you may have come across the term "quick sale" (also known as a "short sale") and are wondering what it means or whether to you can use it to your advantage.

What it Involves

Quick sales are done in the 90 day window between a lender filing a Notice of Default against a home owner who has been missing mortgage payments and the lender subsequently filing a Notice of Sale. This period is also known as "preforeclosure," and it means that unless the homeowner can come up with a way to pay what they are owe, the bank will take their Bayview Eglinton condo. A quick sale is one way to come up with this money. In a quick sale, the home owner agrees to sell the home for less than market value and then use this money to pay off the rest of the mortgage.

What it Means for Sellers

Put simply, a quick sale is the last resort of desperate homeowners who want to avoid the smear of having a foreclosure on their credit report. If you resort to a quick sale, you save your credit report but leave yourself with nothing to show for all the money you put into your Puerto Vallarta real estate because the house goes to the buyer and the money goes to the bank.

What it Means for Buyers

For buyers, quick sales offer the potential to scoop up a property for an incredible savings. For those who want to buy downtown Toronto real estate but can't afford it, this is an option that could give you what you want. However, although you are "saving" the owner from foreclosure, you are also taking advantage of him by paying him less than the market value for his home. This may make more fair-minded buyers feel sleazy.

Going Ahead

A quick sale isn't something most people can organize on their own. If you want to sell a unit of King West condos this way it is highly advisable to consult the bank, a real estate agent, and a lawyer before pursuing it. Be careful though: some real estate agents may be inclined to take advantage of sellers who are desperate.