Because of the decrease in residential real estate values in many Phoenix neighborhoods especially including Surprise, Az and Buckeye, Az , many homeowners are finding that they will now owe more to their lenders than they will net if the house is sold.
And in a very high percentage of those cases, the homeowner doesn’t have resources for the extra money he will need to add to the sale amount in order to pay off the loan.
DOES THIS DESCRIBE YOUR SITUATION? IS FORECLOSURE LOOMING IN YOUR FUTURE?
Every Two weeks , Myself and other Agents from Re/Max Preferred Choice Put on a Free Short Sale Seminar , where there are Lawyers and Accountants available to answer your questions.
I am a Realtor who specializes in Short sales in Surprise AZ , Buckeye , Waddell , Goodyear , El Mirage Litchfield Park and surrounding communities. I am a lifetime Presidents Roundtable award winner. I have experience in the Surprise Az Real Estate Market.
HOW MUCH DOES IT COST TO SHORTSALE A HOME
In most cases, it doesn’t cost you a dime if you list your home for sale with me. I throw in negotiating with your lender to get them to agree to allow you to sell your home for less than you owe them.
THE SHORT SALE:
Lenders are fully aware of these conditions. Even though they want their loan paid in full, what they want less is for the homeowner to no longer be able to meet his mortgage payment, thus forcing the lender into the very expensive legal process known as foreclosure — legally taking the house away from the homeowner in order to try to satisfy as much of the debt as possible.
THE REASON THE SHORT SALE IS OFFERED:
So not for the purpose of wanting to be good neighbors, helping out the homeowner, lenders have developed a negotiated process called the Short Sale in order to minimize the lender’s potential loss.
HOW IT WORKS:
Here’s what happens. The homeowner notifies the lender that the loan is in trouble because he can’t continue to make the payments, that the home doesn’t appear to be worth what is owed on it, and that he needs the cooperation of the lender if the home is to sell.
The lender reviews the financial and credit history and condition of the homeowner, then has the home independently studied by a chosen professional real estate agent, broker or appraiser to assess the value. If the lender then chooses to allow a Short Sale, the homeowner is notified to what price the listing price can be reduced to.
The home is put on the market at or near that value.
THE CONSEQUENCES TO THE HOMEOWNER:
When a purchase contract is received by the homeowner, it is given to the lender for approval of the Short Sale terms. Assuming the lender agrees to let the sale take place, at closing, the lender has three options remaining: 1) he can forgive the remaining balance owed the him by the homeowner 2) he can take a deficiency judgment against the homeowner for the balance and other charges due him 3) he can offer to convert the balance owed him into a secured or unsecured loan, with monthly payments to be made by his client.
THE SFR PROFESSIONAL CERTIFICATION:
So the National Association of Realtors prepared a course of study and professional certification for those members who are willing to handle Short Sale and Pre-Foreclosure negotiations. The designation is known as SFR and it stands for Short Sales & Foreclosure Resource.
I have that SFR certification as well as a CDPE designation and knowledge of how HAFA works.
The primary key to a successful Short Sale with the least amount of consequence to the homeowner is to begin the process as soon as the homeowner realizes he is in trouble. Call a professional SFR designee immediately and get the process underway.