How to Deal with a "Border-Line" Short Sale! Palm Beach County, Florida
In a recent conversation with a client, it got me thinking on how to deal with a client on a non-Short Sale listing and marketing efforts going forward. Yes, I've done all of the usual approaches (Active Rain, Craigslist, etc.) but still the client is faced with a dilema, do they have the funds to cover any variance in payoff or "go short". Some in the industry may even call this some type of "hybrid strategic default". Of course, the obvious questions come up as to drop in commission, but really! I know ever listing has it's own unique circumstances and issues, but this one has tugged on me even harder than others. Struggling middle class, single income with a local law enforcement agency (showing responsibility) never late on their mortgage and refinanced almost two years ago. Now faced with selling property at market value (hopefully).
Heck, this sounds like everyone I know in South Florida - almost everyone!
With all of the REO/Short Sale activities in the Palm Beach County area, you almost need to be standing "naked" in front of your Open House sign to be noticed by serious (qualified) buyers. OK - maybe that's a stretch!
After careful review of the situation and market conditions, I'm working on getting the listing priced to a break-even point and getting the property sold. In addition, the client has decided they will tap into retirement funds in order to avoid any deficiencies, if necessary, keeping an acceptable credit rating for his employment. Since I lack a law degree, not too sure on deficiency judgments and assets such as retirement accounts in Palm Beach County court and recommended legal counsel.
I know all of us facing these decisions everyday with our clients, dealing honestly and objectively is our credo. Seeing people tap into their retirement account (that sounds familiar) to satisfy a debt, I'm not sure how many people would make that decision in this econmy, regardless of a credit hit. However, working with this client gives me a new sense of hope to many struggling home owners here in the Palm Beach County area.
What would you do or recommend if faced with the same circumstances....send me your thoughts?
For all of your Palm Beach County real estate needs, please call Stephen Panczak, Sr. (561) 254-8098 or visit our website at www.palmbeachsteve.com.
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