Category Archives for "Short Sales"
Any information relevant to Short Sales
Any information relevant to Short Sales
1. “Do everything you can to have an educated buyer in the process.” – An educated buyer has experience, accurate and up-to-date information, and will not get overwhelmed with the process.
2. “Make sure the submission package is complete.” – Extra stress is put on this step, because having unorganized documents slows the process down the most.
3. “Having a cash offer or pre-approved financing will speed the closing dramatically.” – Why waste time on securing a buyer, which can take up to two months, when there are tons of cash buyers who can be approved much faster and easier?
4. “Any supporting information about the property and nearby comparable properties is extremely helpful in evaluating a short sale.” – Include up-to-date information, comparable home prices, detailed photos and honesty about the condition of the home.
5. “To guard against last-minute surprises, establish a good relationship with the title company doing the closing.” – It could help you get issues handled quickly, be informed of possible deal-changers, and get paperwork is filled out correctly.
6. “Have backup offers in the wings.” – This could eliminate the need to market the property again.
7. “Communicate clearly and often.” – Establishing solid timelines and expectations will make everyone less stressed and time-consumed.
“Servicers completed 1,666 short sales and deeds-in-lieu (DIL) of foreclosure under the Home Affordable Foreclosure Alternatives (HAFA) program in April. That’s up 73.7 percent from the 959 HAFA transactions completed the month before.”
If you need assistance regarding a short sale or foreclosure, contact us and a member of our team would be happy to guide in the right direction.
According to an article published by DSNews yesterday, HousingPulse Tracking Survey released a study showing that nearly half of home sales that happened in March 2011 involved distressed properties and short sales have reached a record-high. The following is an excerpt from the article in DSNews:
“Within this distressed property segment, the market analysis shows a boom in short sales during the month of March to record-high levels and a drop in the proportion of damaged REO.
These deductions come from the HousingPulse Tracking Survey generated by Campbell Surveys and Inside Mortgage Finance.
The survey’s overall distressed property index rose to 48.6 percent in March – the second highest level seen in the past 12 months.
Short sales rose from 17.0 percent in February to a record-high 19.6 percent in March. Over the same period, damaged REO fell from 14.9 percent to 12.0 percent.
The report referred to both developments as “a positive sign” for the market.
Short sales can eliminate the sometimes long periods of time a home sits vacant after it is repossessed by the lender after foreclosure, and because damaged REO has the worst effect on comparables used for appraisals, smaller amounts of damaged REO should be a positive for home values in future months.”
According to DSNews.com, a bill has been introduced to appoint a deadline of 45 days on lenders to approve, disapprove or give the status of a decision on an offer for a short sale.
By decreasing the length of time lenders have to make a decision, the more likely underwater homeowners will be able to use the short sale as a foreclosure alternative. This will decrease the amount of empty, repossessed homes on the market.
The bill was introduced by two lawmakers, Representatives Tom Rooney of Florida and Robert Andrews of New Jersey. They named their legislation the Prompt Decision for Qualification for Short Sale Act of 2011 and have stated that is will bring the short sale processing timeline closer to buyers’ and sellers’ expectations.
The following is an excerpt from the DSNews article written by Carrie Bay, “The National Association of Realtors (NAR) is throwing its support behind the new bill. The trade group has been actively pushing the lending industry to improve the process for approving short sales, which represent about 13 percent of recent home sales according to NAR data.
‘Realtors want to help more homeowners avoid foreclosure by facilitating a short sale when a family is absolutely unable to keep their home; however, that can only happen if lenders and servicers approve short sale offers in a reasonable amount of time,’ said Ron Phipps, president of NAR and broker-president of Phipps Realty in Warwick, Rhode Island.
Phipps says a short sale not only minimizes the negative impact on the borrower, but in most cases costs the lender less than a foreclosure. He praised Reps. Rooney and Andrews for their efforts on a bill that he says could soon bring relief to distressed homeowners who hope to avoid foreclosure.”
For more information on proceeding with a short sale or purchasing a home in the short sale process, contact us.
Are you in need of home loan assistance? Do you have a Bank of America home loan? You may be in luck!
BofA has recently launched a new website dedicated to helping its loan customers no matter what situation they may be in. Whether you think you may miss a payment soon, just missed one home loan payment, missed more than one loan payment or have received a forclosure notice. This easy to navigate website will give you assistance into understanding your situation and where to go from there.
To find a real estate agent who will understand what you are going through and can help you through a short sale process or relocating, click here.