Important News and Techniques for Today's Real Estate Market

Distressed Property Sales:  Bankruptcy Sales

OVERVIEW: A Seller files for bankruptcy and the Court forces the disposition of the Seller’s assets in attempt to satisfy outstanding debts. These properties are usually priced in line with fair market value, since the listing process usually includes multiple Broker Pricing Opinions and / or appraisals prior to market entry. The Bankruptcy Trustee will be the one who signs the contracts, but final approval must be given by the US Bankruptcy Court before the property can be conveyed.

PAY PARTICULAR ATTENTION:

• Make sure that you allow at least 30 days for closing 
• Make sure that the final court date for the actual bankruptcy hearing is scheduled AT LEAST 3 business days prior to closing (preferably longer) so that the required court-signed documents can be forwarded to the closing attorney in time to be processed for closing.
• Make sure that the closing attorney has specific bankruptcy closing experience.