Short selling. Is it right for you? There are many things that can lead to a short sale of a property. Here are some common reasons to short-sale besides foreclosure which should always be avoided.
Negative equity happens when you bought you house for more than what it is worth in the current market. This is very likely if your down payment was less than 30% between 2004-2007. Short-sales also could occur if there was a small down payment and the loan was one with a negative payment option (option arm or 1% payment). This deflects the non-paid portion to the back of the loan which grows the balance thus in a down market turns you house "upside down". Your unpaid taxes can also turn your house into a short-sale. This can happen if your home is in a "break even position but you have not been current on your taxes or HOAs. At the end of the sale someone has to make the payment . So if your home is extremely negative or even just close there are many reasons including real estate commissions that you wont need to pay, benefiting you from a short sale .
You can also be current on your payments and short-sale a property .This will allow you to re-purchase a new property as long as your credit score and fiances are to the lenders requirements. This is called a "strategic short sale". Inquire us for more information.
In Danville Ca , J Rost Realty listed a short sale property in the Rubicon town home development. The home owners still were employed and current on their payments they did not have to much of a hardship besides the fact of being negative nearly 250,000.00 on there mortgage. They had purchased in 2006 at the "peak" for 598,000.00. Within 90 days J Rost Realty was able to get this transaction approved by the first and second mortgagees for a 296,000.00 sales price with NO DEFICIENCIES TO THE SELLERS. Our clients got out of a huge debit and still maintained over a 700 fico score !!
There can be some extremely positive out comes from a short-sale. If you work with an agent make sure they do their own negotiations and have closed at least 25-50 transactions with client referrals . J Rost Realty has closed hundreds of CA short sales to-date. Call J Rost Realty for help today on your home sale. (925)200-2981 or toll free (855)-201-4609.
J Rost Realty is a full service real estate firm that covers north of Fresno (Mid CA) to Santa Rosa (Northern CA). We specialize in helping homeowners short sale-their homes preventing foreclosure and avoiding any seller deficiencies. J Rost Realty has its own in-house processing and negotiation staff and have 100% success rate with hundreds of closed short sale transactions. In addition we list REOs directly for many banks, giving us a large inventory for buyers and investors.