A short scale contract is a viable option against a foreclosure. For people facing the foreclosure of their homes, they can always go for this option. In order to make a short sale contract, there are some important clauses which are attached to the contract. It is important to understand the option fully and make use of the advantage which a short sale gives. Loan modification tips are important in this regard and can be gotten from the experienced Loan modification firms to ensure that the best option out of the available options is what a client takes.
When to choose short-sell
Short sales are always a viable option especially when the client choses wholesales. The first clause in a short sale contract is that the contract is strictly between the homeowner and the person who is going to do the outright sale of the property.
Another clause is that the person who wants to draw up a short sale contract and has gotten the current homeowner to sign cannot still advertise the house immediately owing to the fact that he is not sure that the lender i.e. the banks will agree to the wholesale agreement. In this situation, it is wise for the person drawing up such agreement to get a written consent from the banks before he/she begins to market the property for sale.
The inspection period is another clause in short sale contracts. It is usually a period of between 10 to 15 days when the buyer is allowed to look over the house. Firstly, the buyer must be sure that the lenders agree to a short sale. After this the inspection period begins.