Short Sale homes in Maricopa County Arizona. Buying short sales, foreclosure homes in the phoenix metropolitan area (Peoria, Surprise, Scottsdale, Glendale, Buckeye, Goodyear, Cave Creek, Fountain hills, Paradise Valley).
Benefits and more about Short Sale properties in the phoenix metropolitan area.
Provided by Daniel McCarthy - view short sales http://www.buy623.com/ - 623-628-7372 - email@example.com
This is a subject I am approached about everyday now, where as three years ago no one was even knew what a short sale was. Very simple; a short sale is a property that generally is in pre-foreclosure (does not have to be in pre-foreclosure) that the current owner owes more money against the property then the property is worth. For example in 2005 you bought a home for $230,000 and now that same home is worth $150,000, you have to sell the home because you need to relocate out of state, divorce, etc... So if you owe $230,000 and the home will only sell for $150,000 what can you do? You have to attempt the short sale process. The first thing you are going to want to do is contact a realtor that is aware of the short sale process and has experience in closing short sales. Think of it like this if you were the bank or investor who loaned money for something that is now worth much less, would you be in a hurry to lose thousands of dollars. There is a process involved and there are many people involved I am going to explain the short sale process in-depth and please excuse the grammar, any misspellings, and length. If you are considering a short sale, please consult an attorney, tax professional, etc... There are many different consequences to a short sale in Arizona. The laws for short sales vary from state to state. I would suggest you understand the potential outcome of a short sale.
First thing you must understand about a short sale is that every bank has different requirements for a homeowner attempting a short sale. Most of the times a home owner will be referred to a loss mitigation department for the bank, if you have an 80/20 loan program in place for your home you will want to contact both the first and second lien holder for each loan on your home. At that point they will more than likely try to work out a payment plan for you and try to get the home owner to stay in the home. If under no circumstance you can stay in the home they are going to request tons of information from the homeowner, such as; bank statements, hardship letters, W-2s or 10-99, and pay stubs and more depending on whom you are working with. Next thing they will like to see is a purchase contract. Most banks really do not have a department set up for working with the homeowner or the homeowner's real estate agent before there is a purchase contract on the house. Basically a purchase contract is a wonderful way to get the wheels in motion on selling your home short sale.
As a realtor who works with both buyers and sellers I can tell you the frustrations of short sales and how many of these issues can be avoided.
Working with home buyers:
A client calls me and says "Daniel, I would like to look at some homes this weekend can I send you the homes to your email and will you check them out for me." As I pull through the homes the first thing I am going to do is research if the property is a short sale which usually is indicated by "subject to lenders approval." At that point I see many of my co-workers or other real estate agents "sigh". Buyer agents are very afraid of short sales because it can take a week, up to 3 months or more to get your offer approved by the bank. It is very frustrating because the seller's agent may have put the home on the market at a price that is not going to be accepted by the bank, but the agent needed an offer in order to get the short sale process started. It is a viscous cycle. I would recommend for all buyer agents to do some serious work prior to showing your potential home buyer a short sale. It is not as simple as calling and asking if the home is still available. Here are some questions I would ask a listing agent before previewing a short sale. Is the home approved at this price by the bank? Has the BPO been ordered by the bank? What was the price of the BPO? How many offers are currently on the property? What is the expected response time from the bank? Can I talk to the bank or your negotiator?
It helps to have worked with a short sale on the listing side because you can help navigate a buyer through buying a short sale.
Working with home sellers:
If you are considering a short sale, please consult an attorney, tax professional, etc... There are many different consequences to a short sale in Arizona. The laws for short sales vary from state to state. I would suggest you understand the potential outcome of a short sale. As a realtor all we can do is help sell your home, to avoid foreclosure, or get out from under your home. I also feel that it is important that your realtor is working with a third party with your short sale. There are many companies that only work on short sales and are in existence to help real estate agents. Think about it, I work with a lot of home buyers and sellers, with an issue as fragile as a foreclosure wouldn't you feel better knowing your real estate agent pays a third party of experts to help with short sales. When a home seller comes to me and requests to do a short sale, I do not avoid them or not call them back I do everything in my power to help them get out from under their home.
Closing I suggest as a buyer or seller considering a short sale, you take your time on becoming educated about all the steps involved. I am not insinuating to avoid a short sale I am telling you to seize the opportunity and understand all the risk involved. Call or email with any questions
Metro North Realty
7975 W. Peoria Ave.
Peoria AZ, 85345
Monday - Saturday: 8:00 AM - 6:00 PM
Sunday: 12:00 AM - 5:00 PM
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Phoenix Arizona Short Sales. What is a short sale.
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