preforeclosure: $1000 Incentive to seller completing short sale - 01/08/10 11:17 AM
Yes, it's true.  I was very surprised to learn on my recent FHA/HUD Preforeclosure Sale (short sale) that the homeowner can receive up to $1000 to close a short sale on their property rather than letting it go through foreclosure. The lenders are very open to doing a short sale rather than a foreclosure.  Better for all involved.
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preforeclosure: FHA/HUD Preforeclosure Sale - No Guesswork Here - 01/07/10 12:11 PM
1) No earlier than the 32nd day and no later than the 60th day of delinquency the Mortgagee (holder of the lein) sends the pamphlet (HUD-PA-426) to homeowner "How to Avoid Foreclosure"
2) If the homeowner is interested in pursuing the Preforeclosure Sale, the mortgagee will them mail out an "Information/Disclosure" (HUD-90035) which provides information to the homeowner on housing counseling, disclosures and possible tax consequences.
3) The mortgagee requests financial documentation from the homeowner to evaluate whether or not they qualify for the Preforeclosure Sale. If they appear to qualify, a title search is done along with an appraisal and an "Approval … (0 comments)

preforeclosure: FHA PREFORECLOSURE-NOT THE SAME AS A REGULAR SHORT SALE - 01/05/10 10:38 AM
I just closed my first FHA short sale, which isn't even referred to as a short sale, but rather as a Preforeclosure Sale.  It has many similarities to that of a Fannie Mae short sale, but is very different as well.  One very nice thing about the FHA Preforeclosure is that after the seller is accepted into the program, the appraisal takes place, and HUD already has predetermined guidelines in place as to what price will be acceptable.  The Fair Market Value is determined by this appraisal and HUD will require a net of at least 88% of this Fair Market Value in … (0 comments)