The pros and cons of short sales vs equity sales…
Short sale: May have to wait 3 to 6 months for an approval from the bank but will get best value because banks make approvals according to appraisal on file and they do new appraisals every three months, standard.
Equity Sale: These are few because they are in competition with REO (bank owned) properties and short sales which both now make up about 85% of the market inventory. Also, the seller usually overprices their properties in hopes of getting more, so they are usually looked over because there is usually a short sale or REO property in the same, if not better condition, and at a lower price.
REO: Bank owned properties, the downside, they are bank owned and the seller may have left the property in horrible condition. They are now making efforts to prevent that by offering the seller’s (or tenants) cash for keys to leave the property in good condition. In addition, FHA has recently announced that the 90-day flip rule (which was not allowing any FHA buyer to purchase any property that had not been on the market for a minimum of 90 days) is being postponed beginning Feb 1.
Alot of info to digest, but let me know if you have any additional questions!