This Short Sale client went from being upside down by more than $50,000 to having a net equity worth more than $100,000.
I recently had the pleasure of working with a client who wanted to move out of town called City of Lynn and move into another town called Lynnfield Ma. We had a lot of challenges along the way and one of those challenges is what will the new Market Street project do to the value of my home. I've been working with Mark and Lynn for over ten years, matter of fact I did their mortgage when they bought their house. When I got my real estate license I told them that I could help them sell their home when they were ready and they said that they were ready. So I appraised their home and wouldn't you know they were upside down. Click here to find homes or short sale information for Lynnfield Ma.
The median list price in October for single family homes in Lynn is $266,762. The list prices increased by 11.19% from the previous month. The price per square foot for listings in this area is $172. The median sale price in August for single family homes is $190,000. The sale prices dropped by -16.48% from the previous month. To get updated stats in Lynn you can go to my Market Insider.
Having two young children they wanted to get their kids into a better school system a school system like Lynnfield. They really wanted to make this happen and so we went to work right away negotiating with their current banks. They had a first mortgage and a second mortgage. They were going to be ok with the first and upside down on their second mortgage. We wrote a nice letter to the bank explaining his situation and asked the bank for debt forgiveness and with heavy negotiation with myself and my negotiator we were able to get the debt forgiveness which we call a short sale with debt forgiveness. With the help of Stacey Snowdon we did it in such away that we were able to get him pre approved for a new mortgage. Mark has a great job as vice president at a major hospital so his income is good. Because of the short sale he didn't have much to work with for the down payment. We had to get really creative to make this happen. One of our biggest challenges at the time and it's still the case. The homes for sale in Lynnfield were becoming more and more desirable to the many buyers that were coming into the market. What we found was when a home came on the market and it was priced right and in good condition it would get multiple offers and it always went over asking. Not only that the buyers in today's home buying market thirty one percent of them were paying cash. So if your an FHA buyer three and one half percent down, the other agents were looking down on that and say to their sellers that's not as good as this cash buyer. Some cases that seller would take a lower price than the highest price just to feel secure that their house would close on time.
The median list price in October for single family homes in Lynnfield is $699,900. The list prices increased by 9.53% from the previous month. The price per square foot for listings in this area is $216. The median sale price in August for single family homes is $360,000. The sale prices dropped by -32.07% from the previous month. Become a Market Insider. Get FREE access to valuable market data! Click here to get updated information for homes sold in Lynnfield Ma. Get the stats now and be ahead of the curve.
My buyers were getting very discouraged with the process and thought that they would never find a house and what made it worse is, I had their house under agreement and we had to find them something fast. The buyer on their house was getting very nervous because he wasn't sure if they were going to find a home. I told them all not to worry that I would find the right home and everyone would be very happy in the end. I went back to my office and I started to brain storm with my loan officer Stacey Snowdon from Mortgage Masters. We went through all the houses and locations in Lynnfield that my client liked and we figured out a plan that would ultimately blow their socks off. Stacey and I were able to figure out how to find the home of my clients dreams, finance it and not have any competition. I met with my clients told them about our plan and explained to them how it worked and with some resistance they said what do we have to loose. I told them that when everything was said and done I would take them from being $75,000 upside down on their current house to being in the positive. My estimation was around $100,000 in the positive. I felt from the buyers that they weren't sure of my numbers and because they new me for so long they kept the faith but I knew they weren't sure. We identified a properties, which was a ranch in a great location It had three bedrooms one bath and a finished basement. This home had been on the market for quite a few days 138 total and so we were able to walk right in with little competition. Matter a fact our only competition was a builder who was trying to low ball the seller.
We were able to give the seller the price she wanted $325,00 and my buyer got the price terms they needed to make the purchase of this home work. We met with several designers, builders and contractors. After some serious investigation and home work Mark and Lynn chose. http://bluechipcorp.com/ The buyers were able to design the home that they wanted with all the bells and whistles. The old house was this ranch style home with three bed rooms one bath, with a finished basement. This home hasn't been updated since the sixties. My clients were approved for $525,000 and so we had to find them house and build out that house and keep under their budget. Not only that we had to find my buyers a place to live while the construction was going on. So I talked to the new owner of my clients house and we were able to let the buyers stay in their old house while the new house was being built. They did have to stay in a hotel for short period of time. Within four months they were able to move in. Because the rates were still low we told them that they should refinance and lower their rate. The anticipation of the new value was driving the seller crazy. He would call and text me several times a day and ask about his appraisal. It took the appraiser just over a week to get it in.
The funny thing is every time they asked me what I thought I alway's said it would come in around $630,000 and wouldn't you know it it came in at $627,000. The text I got from Mark was just (AWESOME). We were able to lower his payment over $700 a month with this new appraisal. The new owners told me that their payment is less than what they were paying at their old house. Now that's a happy ending. Contact me and I will tell you the rest of the story. Click here and search for lynnfield homes for sale.