short sale, buying a short sale If you are buying a short sale, you've probably found out that it's not the fastest process in the world. A short sale is a way to buy a home at a fantastic price, but because there is more paperwork involved, they simply take more time to process. The bank may get multiple offers to sort through, and they may also be understaffed in their loss mitigation departments. Buying a short sale is worth the wait however, because you may be able to get a home priced below market, and when the market improves, you'll be sitting on some instant equity.

When you buy a short sale, you are also helping out a distressed home owner. The sale of their home through the short sale process helps them avoid a foreclosure, which is devastating to credit ratings. People witting in homes they cannot afford are much more the norm now than they ever used to be. This situation was created by lax lending practices, and some ignorance and optimism on the part of home buyers. They bit off more than they could chew, which is why the market is flooded with foreclosed homes and short sales.