Short sales increasingly popular with LI luxury homeowners

TRD New York /
Jun.June 10, 2011 12:12 PM

Short sales are becoming more and more common in expensive areas as Long Island luxury homeowners try to escape the embarrassment of a foreclosure, the New York Times reported. In Nassau County, 22 houses worth more than $1 million are listed as short sales and
in Suffolk County, that number is 12.

Short sale inventory reached a record high in April, according to Richard Halloran, managing broker of Coldwell Banker’s Babylon office, citing 1.042 Nassau homes listed as short sales and 2,430 in Suffolk. In December 2008, those figures were 1,541 in Suffolk and 633 in Nassau.

“With the courts at a standstill and banks not foreclosing on properties,” Halloran said, “the banks are getting better at doing short sales, so more people are doing them.”

Some banks are even handing out bonuses for owners who opt for short sales.

The incentive for the seller to go for a short sale, Richard Klein, a real estate lawyer handling a lot of such deals, said, is above all the credit ramifications and embarrassment factor of foreclosure.

“It’s a private transaction,” he said. “You can leave with your dignity.” [NYT]


Related Articles

arrow_forward_ios
Coldwell Banker's Joseph Hamdan (Credit: iStock)

Coldwell Banker is coming back to Manhattan

Compass poaches Coldwell Banker’s top producer Chris Cortazzo

Home prices in Nassau and Suffolk counties rose in June.

On Long Island, home prices jump in June

This Long Island home that once claimed to be the country’s largest sustainable residence is back on the market

Alibaba co-founder Joseph Tsai with Nassau Coliseum in Uniondale and Barclays Center in Brooklyn (Credit: Getty Images, SHoP Architects, and Barclays Center)

Alibaba’s Joseph Tsai in talks to buy Barclays Center, Nassau Coliseum: report

Long Island Cheat Sheet: $1.2B Belmont Park project faces further review, small property near Wyandanch Rising seeks surprising sum… & more

Chicago’s top residential brokerages churned out $23B in deals last year

Behind the demise of Advisors Commercial Real Estate

arrow_forward_ios