Military Short Sale for 2012 – VA Compromise Sale – JBLM and PSNS
Most military members move every 3 years. This is known as a Permanent Change of Station (PCS). Any 
military member who bought in 2008 – 2009 and is thinking of selling in 2012, more than likely owes more than their home is worth. Homes in the JBLM and PSNS areas have decreased in value approximately 30% since 2008. This is even more pertinent to the Military considering the majority of service men and women by with a VA loan with no money down. It is such a travesty that our soldiers not only are putting their lives on the line, they also have to face potential financial ruin, loss of security clearance and the stress of deciding what to do.
There are only a few options for the JBLM or PSNS Military Member. Rent, walk, or short sale.
Rent the home: Usually for less than the mortgage payment. Try to cover the difference and be a renter where the military family is moving to. In most cases it will be 10+ years until you can sell and break even.
Foreclosure: Walking away is an option. Pretty severe credit hit. Not able to purchase a home for 7 years or so. Loss of security clearance.
Short Sale: For a VA loan this is called a VA Compromise Sale. The Military sells “Short” for less than what’s owed, and the VA pays a “compromise claim” to make up the difference. Less of a credit hit. You can buy in 2 years. Keep your security clearance…ask me how.
So if you’re a one this country’s military service men or women, and regardless if you are PCS ing out of JBLM or PSNS, a short sale might be your best alternative.
The VA Compromise Sale has criteria that must be met.
In order to be considered for a VA compromise sale, several factors must be considered:
The property must be sold for fair market value.
The closing costs must be reasonable and customary.
The compromise sale must be less costly for the Government than foreclosure.
There must be a financial hardship on the part of the seller.
On loans that originated on or before December 31, 1989, the lender must be willing to write off any debt above the max guaranty.
There must be no second liens or other liens (unless the amount is insignificant). In situations whereby there are second liens or other liens, the seller can request that the lien holder consider releasing the lien and converting the loan to a personal loan.
The seller must first obtain a sales contract in order to be considered for the program.
To protect the seller’s interest, the seller should make the sales contract contingent and/or subject to the approval of a VA compromise sale.
You can click the link below to
Contact the VA or call them at 800-933-5499
If you’re in the PSNS or JBLM area and have questions regarding a short sale of VA Compromise Sale you can Contact John M. Cameron 206-910-0200 or email at mailto:johnrockshomes@gmail.com
For a complete list of active Short Sales and Bank Owned Properties for sale in Seattle.
Military Short Sale for 2012 – VA Compromise Sale – JBLM and PSNS
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