Below you will find a list of my commonly asked questions. Many of your questions may be answered here. If there is anything that I have not included or you need more information about the answers provided, please feel free to let me know. I would love to help answer any of your questions.
As real estate professionals I see a lot of homes in a lot of neighborhoods, as I see a rise in foreclosed and bank owned properties due to nationwide recession. Many times the local bank is stuck with the foreclosed property and has to keep funds in reserve to service that, meaning less to lend out to others in our community. Foreclosures also are typically sold below average, and those prices sometimes help depress the values of other homes in the area.
What is a Foreclosure?
A foreclosed property in Ohio is one in which a borrower defaults upon payment on their mortgage or is delinquent in property taxes. The foreclosure process typically takes 6-8 months and is sold at a sheriff sale where the bank usually buys the property back. At this time the property is now "Bank Owned" and they begin to market the property for sale and try to get it off their books, many times at a discount to what they owe.
What is a Short Sale?
A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property's laon. 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.
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