FLORIDA LUXURY REALTY IS NOT ASSOCIATED WITH THE GOVERNMENT, AND OUR SERVICE IS NOT APPROVED BY THE GOVERNMENT OR YOUR LENDER. EVEN IF YOU ACCEPT THIS OFFER AND USE OUR SERVICE, YOUR LENDER MAY NOT AGREE TO CHANGE YOUR LOAN. IF YOU STOP PAYING YOUR MORTGAGE, YOU COULD LOSE YOUR HOME AND DAMAGE YOUR CREDIT RATING.
SHORT SALE OR LOAN DEDUCTION?
THERE IS A DIFFERENCE! You may want to check out both the Short Sale Process
and a Loan Reduction. Either or may work for what your looking for.
If I can help you in any way, please feel free to call.
Each of you, and your circumstances are different!
THE SHORT SALE PROCESS AS IT RELATES TO YOU
Look, we both know that this is not an easy time in anyone's life when they need to do something like this. It's perhaps one of the roughest times anyone could ever go through. Unfortunately we can't change the way things are right now but, we can deal with them.
I have put this together to help you understand what a Short Sale is, the things that are needed to get this done and to let you know that there is help. I don't want you to go through this alone. No one should.
Please remember, there is help. Just pick up the phone and make that first phone call as difficult as it may be for you. We do understand!
So first, let’s answer the question, what is a short sale. Realtors often get asked this question, so I'll get this out of the way right now. A short sale is the value of the property being offered for sale is less (or short) of the balance owed to the lender (the mortgagee).
Lenders, bankers, morgage brokers MAY accept a discounted payoff and release the homeowner of the existing mortgage obligation in lieu of foreclosure. But please remember the word MAY. A "short sale" usually begins, but not always, when the homeowner has not been paying the mortgage payments.
Your particular instance may be different from the norm. That is why I offer you FREE “Short Sale” advice. You may in fact, qualify for another program or, refinancing.
The two most common reasons the homeowner is not current with the paying the lender are either, the monthly mortgage payment grew (perhaps you had an adjustable loan) beyond the seller's ability to pay the full monthly payment amount or the seller may have encountered a hardship.
A hardship is where the homeowner had personal or unforeseen situation that has prevented them from paying their mortgage payments. An example of this is the loss of income, (job or jobs) or medical expenses. Often, in either case the lender has started the normal foreclosure process with the homeowner's property and credit now in jeopardy.
If you are able to produce a Real Estate Contract to Purchase your property, this makes more sense for the lender to accept an offer on your property than to foreclose, and take the property back.
Don't forget, the lender also incurs expenses during a foreclosure proccess and they would much rather work something out then to have you go into complete foreclosure.
I currently represent a Cash Buyer that may purchase your home through the short sale process. We will be happy to talk w/you about a Short Sale for your home if you would like.
When you have an accepted "short sale" between you as the seller, the lender, and the purchaser. This may not mean that you as the homeowner may be completely freed of the debt or future financial obligation from the sale as further discussed in this document.
As I mentioned previously, each situation is unique. This is why I offer FREE advice on Short Sales. Most of us want you to understand that Short Sales are a process and everything can be dealt with. This is why I want you to know how to do a short sale.
WHAT SHOULD I KNOW AS A HOMEOWNER?
As Real Estate associates, we are not licensed as lawyers or CPA's and cannot advise on those consequences. Except for certain conditions pursuant to the Mortgage Forgiveness Debt Relief Act of 2007, be aware, the I.R.S. could consider debt forgiveness as income, and there is no guarantee that a lender who accepts a short sale will not legally pursue a borrower for the difference between the amount owned and the amount paid. In Florida, this amount is known as a deficiency. A lawyer can determine whether your loan qualifies for a deficiency judgment or claim.
WHAT MUST I DO TO GET MY LENDER TO ACCEPT A "SHORT SALE"?
Although all lenders have varying requirements and may demand that a borrower submit a wide array of documentation, the following steps will give you a pretty good idea of what to expect.
* TRY TO COMMUNICATE WITH YOUR LENDER. You may need to make half dozen phone calls before you find the person responsible for handling short sales. You do not want to talk with the "REAL ESTATE SHORT SALE" or "WORK OUT" department; you want the supervisor's name, the name of the individual capable of making a decision.
However, unfortunately it has been my experience dealing with this that the lender may be very incorporative. They may not want to talk with you and you may need to get a Lawyer or Realtor involved in this process. Please, do keep trying to contact them. It is in your best interest.
* SUBMIT LETTER OF AUTORIZATION: Lenders typically do not want to disclose any of your personal information without written authorization to do so. If you are working with me as your Real Estate Agent, a closing agent, title company or lawyer, you will receive better co-operation if you write a letter to your lender giving the lender permission to talk with those specific interested parties about your loan.
The letter should include the following:
**Property Address
**Loan Reference Number
**Your Name
**Date
**Name and Contact information: who you are giving permission to
speak with the lender on your behalf.
**Preliminary Net Sheet: This is an estimated closing statement that shows
the sales price you expect to receive and all the cost of a sale, unpaid
loan balances, outstanding payments due and late fees. Include Real
Estate commissions. If any. Your closing agent or lawyer should be
able to prepare this for you, this for you, if you do not know how much
to calculate any of these fees. Ifthe bottom line shows cash to the seller,
you will probably not need a short sale.
**Hardship letter. This statement of facts describes how you got into this
financial bind and makes a plea to the lender to accept less than full
payment.Lenders are not inhumane and can understand if you lost your job,
were hospitalized or have an extreme hardship. But lenders are not
particularly empathetic to situations involving dishonesty or criminal
behavior.
**Proof of Income and Assets: It is best to be truthful and honest about
your financial situation and disclose assets. Lenders will want to know
you have savings accounts, money market accounts, stocks or bonds,
negotiable, instruments, cash or other real estate. Anything of tangible
value. Lenders are no in the charity business and often require
assurance that the debtor cannot pay back any of the debt that it is
forgiving.
**Copies of Bank Statements: If your bank statements reflect
checks, it’s probably a good idea to explain each of those line items to the
lender. In addition, the lender might want you to account for each and
every deposit so it is determined whether deposits will continue.
**Comparative Market Analysis: Sometime markets decline and property
valuesfall. If this is part of the reason that you cannot sell your home
to pay off off the lender, this fact should be substantiated for the lender
through a Comparative market analysis (CMA). I can prepare a CMA for
you.
This will show the prices of similar homes. (1.) Active on the Market
(2.) Pending Sales (3.) Solds from the last 6 months.
**Purchase Agreement & Listing Agreement: When you reach an agreement
to sell with a prospective purchaser, the lender will want a copy of the
offer. Along with a copy of your listing agreement. Be prepared for the
Lender to renegotiate commissions and to refuse to pay for certain items
such as home protection plans, termite inspections or home inspections.
NOW....if everything goes well, the lender will approve your Real Estate short sale. As part of the negotiation, you might ask that the lender not to report adverse credit to the credit reporting agencies, but realize that the lender is under no obligation to accommodate this request.
I CAN HELP.....I realize that you may have other questions regarding short sale properties than what we have cover in this document. I want to make sure that you know I will do my best to answer all your questions pertaining to your specific situation, as a Buyer or Seller on a short sale.
Because you shouldn't go through this process or with just me, you may have participating Title Companies and Attorneys helping you along the way. Please feel free to consult with me as your Florida Luxury Realtor for further information.
Please remember a short sale is a procedure and at times can seem rather lengthy. I’m here to help you with this process. To answer your questions or concerns, in fact, am here to help in all your Real Estate Needs. Whether buying or selling. Feel free to call me at the number below, or email me at:
kdsrealestate@yahoo.com
Ask me those questions, I’m here to help. It does not matter if it's a short sale or standard purchase.
You may view any Real Estate short sale listings through the MLS on my site here in the state of Florida. I hope this has been helpful to you in some way.
Katie Creek
727-415-4669
IS LOAN REDUCTION POSSIBLE?
I’m not the world’s best writer so perhaps, you don’t mind if I just type what’s on my mind and let’s let it go from there!
Of course if you follow me at all you know I’m the tell it like it is girl so; I’m going to start with; we both know why you’re at this site.
You are looking for a way to either save your home, get your mortgage principle reduced or both! Right. If not, then you may have come to the wrong site!
So, here we go! Like many of you I began searching the web years ago looking for a way for both of my son’s to save their homes. Both of them had worked since they were kids. Both had a mortgages and both, became upside down when the layoff’s started.
There was no bailout for them, no re-modification program and no “help” from the servicers. Being a Realtor even led me to more despair as I continued to be called by potential clients that were “losing their homes”!
Like many of you I searched and searched for something that would give both my son’s and potential clients some relief. Unfortunately it’s too late for them, but it may not be for you, for a loved one, friend or family, if, of course they are still lucky enough to still have, or be living in their homes.
This program has all the potential to help “We the People”. It also doesn’t care if you are current or in default.
If you’re an investor it’s ok, if you’re a second home owner your OK, or if it’s your homesteaded property. Here in Florida (one of the states that have been hit the hardest) this program may indeed help you!
This all happened because one investor that owned multiple properties across our country found himself in the same situation that many of us do. Frustrated with the fact that the lender was unwilling to help him, he uncovered possibly the largest fraud in American History.
As a result he joined forces with a team of experienced Attorney’s and legal administrative staff who share his commitment of the “American Dream”. Currently they are now represent 10 states (as of this writing), and I’m sure the number will increase.
NOW, THIS IS WHAT YOU CAN DO!
· Reduce your mortgage principal on your primary and second home(s) and NOT have to sell!
· Help reduce your mortgage principal and stay in your home with
NO DEFICIENCY
· People that have Good Credit and are not in hardship, can chose to have a Principal Mortgage Deduction also.
So, let’s do a mock up: Let’s say back in 2005 I bought a home here in Florida, and I paid $195,000. for the home. I continued to pay my mortgage but noticed that the value on my home was going down. This first year, didn’t really alarm me as I was familiar with what was going on in the nation and thought that this may be short lived.
Year 2 in my home, my value is continuing to drop, my mortgage isn’t! I’m still paying for my $195,000. Home that according to the state may be only worth $165,000.
Year 3 it fell again…Year 4…again…..Year 5 yet again….
My home is now worth $95,000. But I signed a note that states that I would pay this! Sound familiar?
Are you thinking about leaving your home? What about perhaps, purchasing another home first and leaving this one (oh yes, it’s been done)! I do not recommend this however!
Are you able to take advantage of this program? Absolutely, if you qualify.
What about if I quit paying my mortgage and am thinking of Short Selling could I take advantage of this program? Absolutely
What about income property. Yes
Is there a cost to this? As with anything there is a cost to this, however quite minimal considering that the outcome of this program could save you hundreds of thousands! And, it’s probably not nearly as much as you’re thinking! Remember, you DO NOT need to be in default to qualify.
Because there are so many programs out there, because we have been led to believe that there isn’t any help for “the average person” many of us have just given up the fight.
I have always fought and will continue to fight for what is right for the American people and when I found this program, I finally said…”Thank you Lord”!
So, what does this mean for you?
Well, if you bought your home between the years 2000 and 2007. You may qualify for this program.
If you purchased your home in the peak of the Real Estate market in 2005, and you are now upside down in equity. This program is for you.
Don’t forget
All because of one man’s battle against the lenders and servicers he may have found the biggest fraud in American History and still to this day, no one is talking about it or doing anything to change this. But I will keep perusing this because I want to help all people. This is my mission and my passion.
Katie Creek
Realtor-ASP-Consultant
727-415-4669
This of course pertains to short sales and the short sale process.