Homeowners Beware - Foreclosures are up 1000%.
I have been a active investors/realtor in the valley for the last three years. Some companies out there will perform like they say they can. In a different breath, all investors are not created equal. Time is of the essence for individuals in foreclosure and you need to really understand that investors are not buying thousands of properties in this market, just because you need to sell. Many investors aren't going to close on your property if it doesn't have at least 30% equity. (in most cases)..
There are also many realtors in Phoenix Arizona attempting to perform short sales for the first time. This is not a bad thing, however you should know, that a first time realtor is equilavent to a first time surgeon! Most of the realtors I know have "good" intentions and would like the bank to accept there short sale offer, however some are not experienced in negotiating a short sale and they do not disclose that they are not experience. The point I am trying to make in this blog is, you need to be very careful and realistic when you're in a foreclosure situations because many individuals want to help, however they may not have the experience to perform at the highest levels.
Many investors aren't going to purchase your property if you are not selling below 70% Loan to Value (LTV). I have had more clients come to me a week before the auction because an investor could not, would and did not perform on the transaction as stated. The property was most likely shopped, as to get another buyer a week before the auction, if the buyer was not located the investors says he can not close on the property and the homeowner is left scrambling for another solution. During your foreclosure process you should set realistic expectations and be honest with yourself. Most are understandbly, emotionally attached to the property; Just realize, no buyer in this market is going to purchase your property in a "buyers" market unless it's discounted. (ask yourself would you purchse a retail property in this market, when you are reading every day the amount of sellers that can't sell there property?) Investors are never going to purchase your property for full purchase price (good market or bad market). Homevestors, I buy Houses, we buy houses, are great at marketing. Most of the investors who market to you are marketing there services if you're motivated to sell with equity available.
Realistically, 90% of the companies will close on your house in 7 days or less if you are selling your property at 50% or less than loan to value.
We as investors say we are going to close on your property in 3 to 5 days, the majority of the time, what we are really saying is, "I am going to get a hard money loan so I can close on your property fast," this being said I need to buy your property under market.
Realtors performing short sales take your listings when you are upside down on your loan and basically communicate to you, I will list your property with the intentions of getting the bank to accept a lower offer. Some realtors attempt to negotiate without having a buyer or purchase contract. One of the most important aspects of a short sale transaction is a purchase contract. If a realtor approaches you with the short sale proposition you need to ask, how are you planning to get purchase contracts to negotiate the short sale.
There are so many tips to look for when you are dealing with investors and realtors the number one issue is people want to trust those individuals that they feel comfortable with. Please ask around and know what questions to ask by speaking with a professional. You need to be armed with the right questions..
Get free foreclosure advice in Phoenix here http://realestate.meetup.com/816/?gj=sj2
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