"Short" sales in Celebration

[rutgers1]

I contacted a Celebration real estate agent a few weeks ago after reading on here that things are going cheap down there. She put me on her mailing list, and I started receiving all of these links to condos/townhomes for under $100,000 (usually around 90K). They usually have a notation of "short sale" or "bank owned."

Is there a "catch" with these homes? It seems too good to be true.

 

[TheRustyScupper]

1) No catch.
2) They are trying to dump houses that are upside-down with mortgage.
3) A short-sale sells for under what the mortgage balance remains.
4) So, it is usually a good deal, BUT NOT ALWAYS.
5) A short-sale may simply be the current market value of the house.
6) In which case, they are no bargain, just cheaper than 2-3 years ago.
7) GOT TO BE CAREFUL ABOUT SHORT-SALES.

 

[Cheshire Figment]

If a person is not paying their mortgage, maybe they are also skimping on maintenance.

 

[Big]

The catch is that these properties have to be approved by the owning bank to actually be sold.

The price looks fantastic on paper, but it's common to be strung along for 6 months while the bank waits for better offers - kind of like an auction, only to have the paperwork or legal stuff fall through at the end.

Best of luck as they DO look like a fantastic bargain - minus the HOA and other fees, but short sale is kind of synonymous with pain in the tush, lol.

 

[WDWisTheBest]

If a person is not paying their mortgage, maybe they are also skimping on maintenance.

A very important point. I would go so far as to say that it is very likely that the homeowner would skimp on maintenance. For example, heat pump maintenance would likely be skipped.

 

[diamondpixienc]

Well I hope things work out for you. How cool if you snag one near the happiest place on earth.

 

[Mitzicat]

I was trying to buy a short sale condo about a year and half ago and the bank hadn't given me a decision in the 6 months it had my offer. My contract expired and I bought another house.

If you are buying a vacation property you might be able to wait out the 6 or so months...but for a primary residence it can be a nightmare. Not all short sales are like this.

Also as OP stated...the maintenance of the place may not be kept up...I looked at a lot of short sales homes where the bathroom sink was in the bedroom closet! and the countertops were on the living room floor.

 

[lockedoutlogic]

If Florida had ANY professional level employment i would buy and you could see my tires burning from space as i roll out of NJ....

but here in lies the problems...there is no sustainable wages in florida...let alone for more transplants...so that is why i refrain...

probably why most people don't pay their mortages down there either....you know...after the ARM on the 110% no money down mortgage kicks in

 

[MarylandPirate]

I've read HOA fees are astronomical.

 

[Peter Pirate 2]

I've read HOA fees are astronomical.

They are high but if you want your neighborhood maintained to this degree it isn't going to be cheap. You get what you pay for and in the long run it'll be a good thing.

 

[mick1229]

Hi, I bought a beautiful move in ready condo last year in Celebration(Georgetown)..on a Short sale...I payed slightly under100k for the property, at its peak it was going for 250k(but that was at its peak)....I could not be more happy with the unit and the area,its so great for our family,as a vacation home ...good luck

 

[Peter Pirate 2]

Hi, I bought a beautiful move in ready condo last year in Celebration(Georgetown)..on a Short sale...I payed slightly under100k for the property, at its peak it was going for 250k(but that was at its peak)....I could not be more happy with the unit and the area,its so great for our family,as a vacation home ...good luck

I envy you as we bought our condo downtown at basically the height of prices ... But even with that fact, we are not interested in selling anyway and I am still extremely happy with my home.

 

[disney1990]

Hi, I bought a beautiful move in ready condo last year in Celebration(Georgetown)..on a Short sale...I payed slightly under100k for the property, at its peak it was going for 250k(but that was at its peak)....I could not be more happy with the unit and the area,its so great for our family,as a vacation home ...good luck

What kind of HOA fees do you pay?

 

[mick1229]

we pay 260.00 a month...which i find reasonable,since the area is so nice

 

[mic_KY_mouses]

We have been watching Celebration for a while. We looked at a few units in October. It seems like now is a great time to get in, but because we couldn't use the property for a few years, we have hesitated. Mick1229, do you have a feel for the rentability of these condos? I know there are time limits. If we could rent it out and cover our costs it would be much better.

 

[mick1229]

Yes,I know they have long term rentals only(I believe its 6 months minimum)..not sure what the average rental for a 2 bedroom is. But Im sure that you wont have any problems renting it,there are a few real estate office in town,that deal with rentals(should you choose to go that way)...We dont rent it,so we can leave on a whim,if we choose to...which came in quite handy during this horrendous winter up here...one morning I looked at the weather forecast,and saw a blizzard coming....I got on the computer booked a Jetblue flight out of a regional airport 10 minutes from my house,we all have clothes down there...that night we were sippin a glass of red wine on our lanai...kids missed 3 days of school(all 3 days were cancelled due to the inclement weather)

 

[mic_KY_mouses]

Yes,I know they have long term rentals only(I believe its 6 months minimum)..not sure what the average rental for a 2 bedroom is. But Im sure that you wont have any problems renting it,there are a few real estate office in town,that deal with rentals(should you choose to go that way)...We dont rent it,so we can leave on a whim,if we choose to...which came in quite handy during this horrendous winter up here...one morning I looked at the weather forecast,and saw a blizzard coming....I got on the computer booked a Jetblue flight out of a regional airport 10 minutes from my house,we all have clothes down there...that night we were sippin a glass of red wine on our lanai...kids missed 3 days of school(all 3 days were cancelled due to the inclement weather)

Sounds like you're living your dream! We had plenty of days this winter when we longed for what you have. We continue to keep an eye on the recent sales prices and we keep pondering the options. Thanks for the reply.

 

[mick1229]

No problem,good luck in your hunting

 

[Pongo1]

Sounds like a good deal having a place down there if you travel there much. Does anyone know of other good areas to look at in the Orlando area. The real estate market is good for buyers right now and we are thinking of looking at a condo or townhouse but not sure what is good areas and what aren't. We have heard that the construction in Celebration is below average so look outside that area but you never know what is good and what isn't. Thanks.

 

[Peter Pirate 2]

Sounds like a good deal having a place down there if you travel there much. Does anyone know of other good areas to look at in the Orlando area. The real estate market is good for buyers right now and we are thinking of looking at a condo or townhouse but not sure what is good areas and what aren't. We have heard that the construction in Celebration is below average so look outside that area but you never know what is good and what isn't. Thanks.

There have been construction issues but in a project of this magnitude I think thats to be expected. Celebration is beautiful and the proximity to WDW is unparrelled. Other areas, Hunters Creek, Windermere, etc. have some nice things about them but they don't give the stand alone feel Celebration does nor are they convenient to WDW.

Just get good inspections at Celebration and know what you're buying.