Posts Tagged ‘department’

Short Sale Mistakes a Realtor Should Not Make

February 18, 2011

Have you ever gone to an open house and you hear the realtor mention that the house is on short sale?  If you aren’t familiar with real estate terms, “short sale” can sound like a positive thing, but unfortunately, it’s not.  A house that is on short sale can, in fact, take months longer to buy than a house that is simply for sale or for lease with an option to buy.  For a realtor, this type of house can be harder to sell, depending on their clients, so the way they handle a short sale or present the house on short sale can make or break the deal.  Here are a few things your realtor should avoid when dealing with a short sale.

  1. A house that is on short sale can take months longer to buy than a house that is simply for sale or for lease with an option to buy.  Here are some common short sale mistakes your realtor should avoid.Make sure you are familiar with the short sale process; do not go into it blind.
  2. Do not hire an unqualified professional to negotiate with the bank.
  3. Do your homework!  Make sure you keep following up with bank representatives regarding the short sale.
  4. Do not price the property above market value to try to cover full payoff.
  5. Do not submit an offer that is too low or buyer financing that is not strong enough.
  6. Do not pay any upfront fees for someone to facilitate a short sale.
  7. Do not be unaware of how to approach business cases to lenders.
  8. Do not expect the process to be much shorter than is realistic.

Make sure you are confident with your realtor and that you can trust him/her to get you through the short sale process securely.  With an increase in short sales this year, both home buyers and home sellers should look into the process to avoid any confusion in the future.

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Joie Montoya

Short Sales: How they’re done and why

March 11, 2010

What short sales are, how they are done, and whyIf there are any services that Chris Gabledon, realtor for EXIT Realty SCV, can do well, processing a short sale is at the top of the list.

No doubt, since the economy began tumbling in the last quarter of 2007, much of the news we heard about the realty market shifted from the rise in property values and property-flipping by liquid investors to the alarming number of mortgages that have gone “under water”.  Highlighted in Michael Moore’s 2009 documentary, “Capitalism: A Love Story“, were the foreclosures and evictions of families from their long-time homes.  Some families, however, managed to escape foreclosure by undergoing a short sale.

What is a short sale, anyway?  According to Wikipedia:

A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property’s loan.  It often occurs when a borrower cannot pay the mortgage loan on their property, but the lender decides that selling the property at a moderate loss is better than pressing the borrower.   Both parties consent to the short sale process, because it allows them to avoid foreclosure, which involves hefty fees for the bank and poorer credit report outcomes for the borrowers.  This agreement, however, does not necessarily release the borrower from the obligation to pay the remaining balance of the loan, known as the deficiency.

If the definition had some “lawyerese”, here are the highlights:

  • Mortgage to date + proceeds from sale < balance owed on property’s loan
  • Selling the property at a loss is better than nothing
  • Avoids foreclosure, large fees for the bank, and poorer credit scores for the borrowers
  • Borrowers may still have an obligation to pay the loan

If you find that conducting a short sale is in your best interests, this is how it’s done.  Using the services of a realtor may ease the process:

  1. Verify the value of your property.
  2. Add up all the costs of selling the property.
  3. Determine the amount owed against the property.
  4. Subtract the total amount owing against the property from the estimated proceeds from the sale.
  5. Contact the lender or lenders.
  6. Ask the lender what its procedures are for a short sale.
  7. Sell the property.

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Francis M. Unson

Did your personal income or spending go up in December?

February 1, 2010

Please retweetDecember produced modest gains in personal income and consumer spending, helping the economy recover from the worst recession in decades.  While the Commerce Department indicates that personal income rose 0.4 percent against analysts’ expectations of 0.3 percent growth, consumer spending rose 0.2 percent against analysts’ expectations of 0.3 percent growth.  Consumer spending accounts for 70 percent of total economic activity.  The down economy has induced Americans to watch their spending more carefully as they saved 4.8 percent of their incomes in December, a sharp rise from spring of 2008, when the savings rate fell below 1 percent.  Read more

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Francis M. Unson

EXIT Realty

January 29, 2010

Please retweetAccording to the Department of Commerce, December saw a 4% drop in new home starts, while 2009 was the worst year in home starts in decades.  However, the outlook for 2010 is much more positive, as the department has seen that builders in 2010 have pulled 11% more permits for home starts than last month.  Builders are forecasting that 2010 will offer a more favorable climate for housing construction and sales as a result of a recovering economy and declining unemployment.

Chris Gabledon, Realtor for EXIT Realty in Santa Clarita, California

Chris Gabledon, Realtor for EXIT Realty

Chris Gabledon, realtor for EXIT Realty SCV, looks forward to serving prospective home buyers in the coming year.  A realtor in the Santa Clarita Valley since 1998, he provides services such as helping buyers and sellers with real estate transactions, and processing short sales, loan modifications, relocations, and guidance in navigating the real estate market.  If you are looking for a company that can help you buy or sell property in a timely manner, or are looking for alternatives to foreclosure, look no further than Chris Gabledon!

Chris Gabledon, Realtor for EXIT Realty SCV

Chris Gabledon, Realtor for EXIT Realty SCV

Chris Gabledon, Realtor for EXIT Realty SCV
23734 Valencia Blvd., Suite 307
Valencia, CA 91355
Ph: 661.254.3948 Ext. 213
chrisgabledon [AT] aol [DOT] com
Lic. #01227710

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Francis M. Unson