Anaheim CA. - Short Sale Realtor Success Story - The ShortSalesASAP brokerage firm specializes in Short Sales in Anaheim and throughout Orange County, CA. We will outline a completed Short Sale for a detached home located in Anaheim, Ca. that was listed, negotiated and sold by Realtor expert, Nick Roshdieh. Certain details of this short sale such as; property address, exact loan amounts, and names will not be quoted exactly to respect the privacy of the previous homeowner.
Anaheim and Orange County Market Conditions: Because of the severe local housing market recession, and the national mortgage loan crisis, housing values have decreased substantially in Orange County California as well as Anaheim. Prices have been dropping about 1% per month for the past 2.5 years, but there are now signs that prices may be leveling off.
Subject Property and Finance Details: The short sale property being featured was a 3 bedroom, 2 bath, 2 car garage with 2,160 square feet of living area on a large lot. The home was originally acquired by the homeowner in May of 2005' for $745,000 with 20% down, and resulted in a 1st mortgage loan balance of about $596,000. Two months later a home equity loan (HELOC) was acquired for approximately $85,000, and was used for renovation and additions to the home. The total loan balance was about $680,000. 3.5 years later, this home dropped in value by about 22%, and the home was upside down by approximately $100,000.
The homeowner lost their job, and was unemployed for a substantial period of time, racking up credit card debts trying to stay current on the home mortgage loans. After a while they soon realized they were digging themselves a deeper hole, and decided to contact us to conduct a Short Sale. Our short sale processing is broker down into three phases.
Preliminary Short Sale Approval: After we met with the client and answered all of the questions and concerns, we signed the short sale listing agreement with the homeowner. Our staff then gathered all of the required documents, reviewed for completeness, packaged and delivered to the 1st and 2nd banks. Our lead Realtor presented our short sale case to the banks, and after some skilled negotiations, we were able to obtain preliminary approval for the Short Sale with tentative terms and conditions. During this Phase, the homeowner was living in the home as normal, free from interruptions from other agents or prospective home buyers. Due to their job loss and subsequent financial hardship, they were living rent free.
Short Sale Marketing and Sales: Once we obtained preliminary approval for the short sale, we placed this Anaheim ranch style home on the market for sale. This included listing on the Multiple Listing Service (MLS) for a price of at a price of $596,900. After a time of about 3.5 weeks, we made a price adjustment to $587,900. Two weeks later, we received an offer from a loan qualified buyer for $565,000. After our several days of skilled negotiation from our expert Realtor, Nick Roshdieh, we arrived at a purchase price of approximately $575,000.
The Short Sale Closing: In the last phase of this short sale endeavor, we acquired the signed offer from the Buyer, and our Realtor interviewed the buyers mortgage lender to make sure the buyer was qualified to purchase this home. Out expert short sale then began the process of gathering the required Short Sale disclosures, and signatures to present to the banks. We submitted this package to the 1st and 2nd mortgage banks, and our Realtor began to conduct the final short sale adjustments of the terms, conditions and costs.
After some additional negotiations, our specialists obtained the updated short sale approval letter from the 1st and 2nd Mortgage Banks. Once we received these bank approval letters, we moved forward with the closing of escrow. The last Phase was completed in about 32 days.
In Summary: One - the entire debt on the home was eliminated and the homeowner owed nothing. If this home had gone through foreclosure, the HELOC in 2nd mortgage position, would have had an unsecured debt similar to a credit card, and would have most likely goen after the homeowner in court to try to obtain a judgment. But the Short Sale prevented this from occurring. Two - Due the homeowners job loss and financial hardship, they were allowed to live in the home rent Free for many months, until the close of the short sale escrow. Three - Although the homeowners credit is damaged, but is is not as damaged as it would have been if the home was lost via foreclosure.
The homeowner is now working with the credit restoration that we refer to our past clients, and they are on track to having there credit rehabilitated to a level where then can then buy another home in early 2010 if they choose.
The ShortSaleASAP Team is licensed with the California Department of Real Estate and are members In Good Standing with the Orange County Board of Realtors. Our team of experts specialize in short sale transactions. Our services are free to the homeowner, for we negotiate our fee with the mortgage bank(s). Our conversations with our clients are kept in strict confidence. We have published an information packed eBook called - "Should I Short Sale My Home", and can for the time being be downloaded for FREE. If you have any questions regarding Short Sales, contact our team of experts at: (949) 388-3396 or drop us an email at: Info@ShortSalesASAP.com.
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