short sale agent: Government Extends the Mortgage Debt Relief Act - Short Sales - 01/02/13 06:45 AM
Congress and The House of Representatives both voted to extend the Mortgage Debt Relief Act of 2007 through 2013. This is fantastic news for borrowers who are in the midst of pursuing short sales. Under this Act, borrowers/homeowners who complete a short sale may be exempt from paying income taxes on any debt forgiven by their lender as part of the short sale approval.
"The mortgage industry can breath a sigh of relief with the final fiscal cliff deal bringing back a popular....debt forgiveness for borrowers who go through a short-sale or some other type of debt reduction."
CLICK HERE to … (1 comments)

short sale agent: Changes To How Short Sales Are Reported To Credit Bureaus - 05/23/12 01:39 AM
Apparently lenders are changing how they are reporting short sales to the credit bureaus.  Even though I am in "believe it when I see it" mode with this, it still provides some perspective on the mindset of mortgage holders when it comes to short sales. The article tells me that mortgage holders and loan servicers are realizing the true benefits of a short sale compared to foreclosure.  Some of the points in the article below are generalized and not entirely true across the board, but it does show that there are now even more reasons for distressed borrowers to pursue a … (0 comments)

short sale agent: Short Short Sale Timeline? - 05/01/12 05:35 AM
 
The real solution to a shorter short sale timeline is to hire more negotiators and support staff. With most of our short sales, the majority of the time is spent waiting for a response from the short sale negotiator, short sale processor or mortgage holder. We are very skeptical this will yield any significant improvement.  
BofA Makes Changes to Trim Short Sale Timeline     04/09/2012 By: Carrie Bay, DSNews.com Bank of America is making changes to its short sale procedures and introducing an improved task flow within the short sale technology module from Equator, BofA’s short sale management … (1 comments)

short sale agent: Proposed Extension on Mortgage Debt Forgiveness (Short Sales) - 02/23/12 12:42 AM
 
This is a "no-brainer" if you ask me! It would have a very positive impact on those who complete a short sale on their mortgage. It keeps homeowners from having to pay income tax on the debt forgiven by their lender. This Act has been quite beneficial for those we've helped close short sales for over past few years. Obama Proposes Extending Tax Waiver on Mortgage Debt Forgiveness 02/15/2012 By: Krista Franks Brock, DS News.com
Obama’s FY2013 budget proposal includes an extension of the Mortgage Forgiveness Debt Relief Act of 2007.
The Act ensures that homeowners who received principal … (2 comments)

short sale agent: Economists See Home Price Appreciation In 2013 (Short Sales) - 02/02/12 12:51 AM
 
While our housing market is moving in the right direction, we still have a little way to go before we see noticeable improvement in home values. That being said, homeowners need to be proactive if they find themselves in a position where they can no longer afford their home and don't have the equity in it to break even. It is very important that the homeowner talk to an EXPERIENCED agent to help them understand the short sale process and its outcomes.   Economists Don't Foresee Home Price Appreciation Until After 2013 12/23/2011 By: Carrie Bay, DSNews.com Home prices in … (1 comments)

short sale agent: More Than One in Four Underwater (Short Sale) - 12/12/11 02:13 AM
Unfortunately, property depreciation is still occurring in a lot of markets. We are seeing more and more people pursuing a short sale in order to sell their homes.  More specifically, we are seeing a growing number of those having to explore a short sale because they are relocating for employment reasons.  They may be current on their payments, but their house is worth less than their mortgage balance and they do not have the financial resources to cover the shortfall.
 
 
Rising Negative Equity Puts More Than One in Four Underwater
 By: Carrie Bay, DSNews.com After declining between the … (3 comments)

short sale agent: Lenders Providing Monetary Incentives to Complete Short Sales - 11/10/11 01:34 AM
Several of the larger national lenders are using a similar model for mainly their "bank owned" portfolio. We had one client who left the short sale closing with a check for $10,000. It's definitely a great incentive for people to pursue a short sale. However, it applies to a relatively small percantage of loans, so not all distressed borrowers can take advantage of these programs.
 

Bank of America Launches 'Test-and-Learn' Short Sale Program in Florida
10/11/2011 By: Carrie Bay, DSNews.com
Bank of America has begun a pilot program in Florida offering extra incentive payouts to distressed … (1 comments)

short sale agent: Short Sales: Possible National Loan Servicing Standards? - 10/13/11 11:07 AM
My instinct says that this would have a positive impact on the short sale process across the board, especially with servicers that have more ambiguous and/or difficult short sale procedures.  I think if the incentives are strong enough for servicers to find foreclosure alternatives, you'll start seeing more servicers being more proactive with their distressed borrowers (i.e. Chase & Citi).     CFPB, Other Federal Agencies Developing National Servicing Standards 09/20/2011 By: Krista Franks , DSNews.com The Consumer Financial Protection Bureau (CFPB) is working alongside other federal agencies to create “common-sense national servicing standards,” according to Raj Date, special advisor to the Treasury for … (2 comments)

short sale agent: More than 1/5 of US Home Mortgages Underwater - 09/29/11 04:17 AM
A short sale is a great option for homeowners that need to sell their homes, but unfortunately owe more on the home than they can sell it for. Even those who ARE NOT delinquent on their mortgage can possibly qualify for a short sale. More Than One-Fifth of Mortgages Underwater: Report 09/13/2011 By: Phil Britt 10.9 million, or 22.5 percent, of all residential mortgages had negative equity at the end of the second quarter of the year, according to a report released Tuesday by the analytics firm CoreLogic. The figure is actually a slight improvement from the 22.7 percent of all … (0 comments)

short sale agent: Pre-Foreclosure Short Sales Jump 19% In Second Quarter - 09/17/11 12:59 AM
To us, this means 19% more people being helped to avoid a foreclosure and get out from under a very tough financial situation. Pre-Foreclosure Short Sales Jump 19% in Second Quarter 08/24/2011 By: Carrie Bay, DSNews.com   Short sales shot up 19 percent between the first and second quarters, with 102,407 transactions completed during the April-to-June period, according to RealtyTrac.
Over the same timeframe, a total of 162,680 bank-owned REO homes sold to third parties, virtually unchanged from the first quarter.

RealtyTrac’s study also found that the average time to complete a short sale is down, while the time it … (2 comments)

short sale agent: HAFA Short Sales Become More Popular. - 08/17/11 03:59 PM
We have several clients in various phases of the HAFA program. So far I feel as if it's a beneficial program because it all but guarantees the borrower will avoid a foreclosure. It also takes a lot of the guess work out of the short sale process and typically shortens the amount of time it takes to get approval terms after the offer is submitted to the lender. The biggest downside that I've seen so far is if the approved list price is too high. Disputing the value in a HAFA short sale is a challenge.   HAFA Gains Steam with … (2 comments)

short sale agent: Banks Prefer Short Sales Over Foreclosures - 08/10/11 05:40 AM
It's about time!  This has actually been the case for quite some time, but there are other factors that weigh into a bank's decision to foreclose on a property. The bottom line is that the mindset of MOST lenders is to pursue the option that best mitigates loss.
 
Banks Now Prefer Short Sales to Foreclosures
 
A lender’s interest is in profit, and a foreclosure used to be more lucrative for a bank than a short sale. Now, however, the average foreclosure takes more than 300 days to process and the time and work that goes into the process now costs banks … (1 comments)

short sale agent: Lenders Offer Monetary Incentives to Borrowers on Short Sales - 08/03/11 02:41 PM
Unfortunately, the percentage of borrowers these programs actually apply to is very small.  However, we did close on a short sale for one of our clients last month where they received $13,000 from Chase on a $54,000 sales price.  It definitely makes our job easier because the motivation for the seller/borrower tends to be pretty high.    Major Lenders Offering Perks on Short Sales By: Carrie Bay, DSNews.com The nation’s leading mortgage lenders are extending extras for short sale transactions employed as an alternative to foreclosure – both in the form of monetary incentives for borrowers and streamlined procedures for real … (0 comments)

short sale agent: Why Should I Pursue A Short Sale? - 07/19/11 03:32 AM
Whenever I meet with a prospective client who is considering a short sale, part of our initial meeting is used to "find the motivation".  What is the incentive for the borrowe/seller to go through the short sale process?  The answer is specific to each person/family, but there are a few reasons that typically motivate the majority of our clients to go through the short sale process. 
Avoiding foreclosure is the most common an general reason people pursue short sales, but it is also quite viable.  A foreclosure can have a long-term impact on someone in many ways, and the various results of it … (1 comments)

short sale agent: Pros and Cons of the HAFA Short Sale Program - 06/30/11 02:11 AM
Over the past few months, we have seen a pretty significant increase in the number of our short sale clients pursuing the HAFA program.  The jury is still out on whether or not I actually like HAFA, but I think the program does offer some positives for the borrower. 
We've recommended HAFA to several of our clients who were closing in on a foreclosure date.  We've found it's a pretty decent way to help stop a foreclosure and give us, the agent, a chance to sell the home.  However, you can't wait until the last minute.  Most servicers won't allow borrowers to … (0 comments)

short sale agent: Too Many Distressed Homeowners Don't Know About a Short Sale! - 05/27/11 04:25 AM
Based on data from RealtyTrac and NAR, more than 700,000 HOMEOWNERS FILED FOR FORECLOSURE AND NEVER LISTED THEIR HOME IN 2010. How many of those 700,000 homeowners could have been saved from foreclosure? This number was both shocking and sad to me.  Our goal this year is not only get this number down, but also to provide as much correct information as possible to help homeowners make the best decision they can when faced with a distressed financial situation.  A SHORT SALE IS A FAR BETTER OPTION than a foreclosure for the vast majority of people who find they can no … (3 comments)

short sale agent: More People Dealing With Negative Equity In Their Homes - 05/13/11 03:06 AM
My Take: This is one of the primary components as to why so many people are pursuing a short sale to sell their homes.  Unfortunately, the homeowner has no control over the real estate market and when they realize their mortgage is higher than the value of their house, it can very frustrating.  It is esepcially frustrating when the homeowner HAS to sell because they can no longer afford the home anymore.  It is important for the homeowner to keep a good long-term perspective when making a decision whether or not to pursue a short sale.  How will getting out from … (6 comments)

 
John Verdeaux (Keller Williams Realty, Knoxville-West)

John Verdeaux

Knoxville, TN

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Keller Williams Realty, Knoxville-West

Address: 5616 Kingston Pike, Suite 201, Knoxville, TN, 37919

Office: (865) 694-5904

Fax: (865) 291-0355

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