Real Estate Broker/Owner with Ursula Gray Realty

The new rules that take affect for short sales starting April 5, 2010:

1) Seller must be unqualified for a loan modification under the home
affordable mortgage program or be unable to afford the modification.

2) The Bank will set an acceptable value of the home upfront, based on
an appraisal or broker's price opinion.

3) Lenders must approve or deny a purchase offer with in 10 days of it
being submitted.

4) Once the bank approves a home for short sale, sellers may stop paying
all related mortgage payments, and upaid mortgage debt will be forgiven.

5) These mortgage payments will not be shown as late on a credit report.

6) At closing, sellers are entitled to as much as $1,500 from the
goverment to cover relocation expenses.

Comments (3)

Melissa Juarez
Massachusetts Buyers Broker Agency, LLC - Quincy, MA

Thanks Ursula for the informative post regarding the new short sale guidelines.

Mar 17, 2010 12:58 AM
Vickie Osoria
Keller Williams Realty - Leland, NC

I like the way there is no time constrictions on the bank for decisions, but there is one on the lender (dripping with sarcasm here).  I can also see that although there are many people who would honestly benefit by the $1,500, there will also be many who use it as a way to be even more irresponsible with their money.  Otherwise, it looks like somebody is at least beginning to think about the huge problem facing the real estate market.

Mar 17, 2010 01:00 AM
Dagny Eason
Dagny's Real Estate - Wilton, CT
Fairfield County CT, CDPE Homes For Sale and Condo

Thanks soo much!  I cannot believe that the banks are happy!?

Mar 17, 2010 01:01 AM