Category: Orlando Short Sales

Alternatives To Short Sale

Posted on by Jenny Zamora

Alternatives To Short Sale Video

 

If your lender doesn’t agree to a short sale on your house, there are several other options available to you.
One option would be a “deed in lieu “, which is basically a voluntary foreclosure and all that happens is that you sign the property back over to the bank without going through the whole legal process involved with a foreclosure. You should be aware however that a deed in lieu will show up on your credit as a foreclosure.

 

Another option available to you, if you’re interested in trying to keep your house is a loan modification.  A loan modification is when we try and get the terms of your loan adjusted so that you can afford to keep your home. We do this by either getting your payment reduced or reducing the principal balance or both.

 

Bankruptcy is also an option to avoid foreclosure. There are 2 different types of bankruptcies, a chapter 7 and chapter 13. In this case you would need to talk to a Bankruptcy attorney, and most of them will give you a free consultation on the initial visit.

What if you just let your house go to foreclosure?

 

I would highly recommend that you don’t take this approach because you are just giving up, and when you give up then you’re giving up all control of your situation to the bank and then they can do what they want at that point.

 

Also, don’t think that just because you let it go to foreclosure, that you will be free of that debt. Actually the opposite will probably happen and the bank will hit you with a deficiency judgment for the difference between what you owe and what the property sold for at the auction.

 

So please if you find yourself in this situation, consult with a licensed real estate professional figure out what your best option is and take action.

 

Feel free to call us at 407-902-7750 or visit us at https://orlandorealtyconsultants.com/short-sales/

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Who Decides The Value Of A Short Sale?

Posted on by Jenny Zamora

Who Decides The Value Of A Short Sale?

 https://orlandorealtyconsultants.com/short-sale-experts/
The valuation of a short sale, as determined by the short sale lender, is probably the single most important factor of the transaction.

The way it works is; after an offer gets submitted to the lender, the bank will then order a BPO.. AKA [Brokers price opinion] on the property.

 This person will usually be a local realtor that will go out to the property, and after doing their research on recent sales in the neighborhood, will give the lender their opinion of what the property is worth.

Whatever, the BPO comes in at will be the negotiating point between the lender and potential buyer.

Does it matter if the house needs repairs?

Yes, it does matter and that is something that they are supposed to take into consideration when giving their estimation of value.

After they do the BPO there are 3 things that can potentially happen that will dictate what follows.

1- The BPO comes in at a fair number that everyone is happy with and we proceed to closing.

2- The BPO comes in too low and the bank insists on another one being done.

3-The BPO comes in so ridiculously high that the buyer threatens to walk. Now when this happens, the agent must do whatever it takes to prove to the bank, that the BPO agent got it wrong.

We do this by preparing an in depth report of our own called a CMA which is also known as a comparative market analysis. This report contains even more information than the BPO agent provided them with.

What a CMA basically comes down to is a list of Active, Pending and Sold properties in the area. And the whole purpose behind this is to get the lender to order another BPO or if we’re lucky they’ll just use ours.

In the end, after all the dust settles, the lenders are the ones that decide how much they are willing to accept for the property.

I hope this was helpful in answering your questions. Feel free to call us at 407-902-7750 or visit https://orlandorealtyconsultants.com/short-sale-experts/ for Free short sale help.

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Short Sale With No Hardship

Posted on by Jenny Zamora

Short Sale With No Hardship – Video

Normally, homeowners that are no longer able to continue paying their mortgage are going through some kind of hardship such as job loss, decrease in pay or hours, health issues, divorce, mortgage payment increase,
even incarceration.

Sometimes.however, people need to sell their home not because of a hardship, but for other special circumstances like a job transfer, military deployment, etc. And, in most cases, for the reasons I just mentioned, lenders have been very accommodating to those that need to sell.
There is another reason however why homeowners want to short sale there home and that is simply to get out of a bad investment.
These homeowners know that they owe the bank way more money than the house will ever be worth and they just want to get that debt off their back and get on with their lives.
The can afford to keep making their payments… but they hate the idea of paying on a mortgage with a principal balance that is a lot more than their property is worth.

 

So, the question is…Can you short sale your home without being behind on your payments so that your credit doesn’t get damaged?

 

The truth is that there’s no way of knowing until you try. Some lenders are more flexible in that respect than others and the only way to know is to give it shot.
It’s important to be aware that many short sale lenders.are controlled by the guidelines of the investors that own the loan.
So while a loan may be serviced by Wells Fargo or B of A or whoever, the loan is actually owned by another entity.
and It’s that other entity that decides on accepting or declining your short sale.

From our own experience. Most investors do require that the sellers have missed mortgage payments, and others do not.

 

Unfortunately, you just don’t know how things will play out until you start the short sale process with the lender.

If you’re current on your mortgage but would like to short sale your Orlando property, call us at 407-902-7750 or visit https://orlandorealtyconsultants.com/short-sales/
One of our short sale experts will give you a free “analysis of your situation” so that you can find out what your options are and move forward with the knowledge that you need to make the right decision.

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Freddie Mac Short Sale News

Posted on by Jenny Zamora

Freddie Mac

Is your mortgage owned by Freddie Mac and you’re struggling to keep your home? Well, if you want to sell in order to avoid having a foreclosure on your record, you may be eligible for Freddie Mac’s recently enhanced short sale.

 

In case you don’t know, a short sale is when a lender agrees to selling the property for less than the full payoff amount. After the closing the lender releases the lien on the property even though they received less the the loan balance. The benefits of doing a short sale is that you will avoid foreclosure and eliminate the mortgage debt.

 

Recently Freddie Mac has simplified and streamlined the process. Here’s how…

1-By allowing their servicers to negotiate the terms of the short sale directly with short sale agent representing the seller.

2- They’ve eased up and expanded on allowable requirements such as what types of hardships will qualify homeowners for a short sale.

3- They provide $3,000.00 to borrowers who qualify for relocation costs.

 

Are You Eligible For A Freddie Mac Short Sale?

Find out if you qualify for a Freddie Mac short sale. Answer the questions below to find out.

1- Is your mortgage owned by Freddie Mac?

2- You can provide proof of an eligible financial hardship which caused you to longer be able to keep up with the mortgage payments.

3-You were denied a loan modification by Freddie Mac.

4- You are over 30 days late on your mortgage. 5- The property is your primary residence. 6-Your monthly debt to income ratio is greater than 55%.

 

Get Free Short Sale Help

Even with all the information in the world about short sales at your fingertips you should still seek out help from a real estate professional. Even with all the improvements that banks like Freddie Mac have made in streamlining the process and making it easier on homeowners, short sales are still complicated and need to be done correctly.

By attempting a short sale on your own or hiring an agent who’s not experienced in the field, you could end up in a bad situation like losing your home to foreclosure.

If you still have questions or concerns about short sales or other alternatives to foreclosure, feel free to give us a call for a free consultation so that together we can find the best option for you. You can also visit us at https://orlandorealtyconsultants.com/short-sales/free-consultation/

 

Jennifer Zamora Orlando Realtor

 

 

 

 

 

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Fannie Mae Short Sales Just Got Shorter

Posted on by Jenny Zamora

Fannie Mae

I believe that Fannie Mae, Freddie Mac as well as most all other lending institutions finally acknowledge the importance of the realtor’s role in the short sale process.

It seems like yesterday [back in 2004] when we started doing short sales. Orlando realtors like myself that specialized in doing only short sales dealt with frustration everyday.

Short sales were rare and many lenders weren’t equipped to properly handle the short sale process. And when you did complete a short sale, getting your hard earned commission from the lender at the closing was like pulling teeth. Thankfully, we’ve come a long way since then and most lenders are very aware of how to handle a short sale efficiently.

In 2008 shortly after the bubble burst in 2007, the US Department of Treasury introduced the Making Home Affordable Program aka “HAMP”.  The intention was to reach out to struggling homeowners that wanted to try and keep their homes as opposed to selling them via short sale or losing them to foreclosure. The program was extremely successful at what it was supposed to do which was help homeowners modify their mortgage so that they could keep their home.

By this time, “short sale” was a pretty common term for anyone who owned a house or anyone who watched the local news for that matter. Lenders were also getting used to processing short sales and even started offering several different “Cash for Keys” programs as an incentive to homeowners who agreed to short sale their home. Even though, overall, short sales are still complicated and time consuming many lenders have seen the light and have taken leaps and bounds in streamlining the the short sale process.

Fannie Mae [Federal National Mortgage Association] announced recently that they will attempt to assist listing agents that want to pursue a Fannie Mae short sale. In order to understand Fannie Mae’s new and improved process, you have to understand how short sales work.

 

What Changes Were Made With Fannie Mae Short Sales?

Fannie Mae just introduced a new website www home path for short sales .com. At the time of the listing, Fannie Mae will now provide list price guidelines. In addition, the agency will work directly with the listing agent or seller to get the 1st lien approval. The next step for Fannie Mae is to allow realtors to negotiate an offer directly through them saving us even more time.

 

Jennifer Zamora Orlando Realtor

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