Short sales may not be so Bad???
If you owe more than your house is worth your options may have just gotten better. Starting yesterday the government has instituted some new short sale properties.
First the good news. The HAFA (Home Affordable Foreclosure Alternatives) program has been amended. There is money!!!!!! Homeowners which before got nothing from a short sale can now receive $3,000 for relocation expenses. There is also money available for servicers, investors and second lien holders. The government reports that more than 90% of all mortgage servicers will be covered under this new program. Some more good news! OK how about this. Lenders will have to respond to contracts in a much quicker time frame. No more waiting around a year to find the bank decides to reject your offer.
Now the bad news. Although the time is past for implementation some banks aren’t even aware of the program. If you’re upside down and you’re looking for a way out now more that ever you need to find a realtor familiar with handling short sales. Look for someone with the SFR designation. That designation stands for Short sale and Foreclosure Resource which indicates additional training in these areas.
If you are a homeowner remember your options of getting out of a upside down house are improving. Take advantage of the all the programs available to help you.
Don’t Let Foreclosure Happen to You !!!!!!!
It amazes me how many properties are being foreclosed on! No, I’m not surprised there are a number of homeowners in trouble. The question I have is why go through foreclosure when there is a much better option. That option is a Short Sale.
There are a number of reasons that short sales are better than foreclosures. The biggest three are, First, it has a much smaller negative affect on your credit score then a foreclosure. Second, your eligibility for buying a new home will be quicker than if you have a foreclosure. Third, in most cases the bank will release you from a deficiency judgment. In some cases banks are proceeding against the people they foreclose on for any deficiency.
The real question is why more homeowners aren’t taking advantage of this program. Not every home will qualify for a short sale but when I see the number of foreclosed properties out there it’s obvious that some homeowners are not getting the word. The problem may be a lack of information. That’s why we need to put the word out. If you or anyone you know is staring at foreclosure take action now! When dealing with a real estate agent look for one that has the SFR Certification. That stands for Short sale and Foreclosure Resource. It’s offered by the National Association of Realtors and agents with this designation have special training in the short sale process.
Whatever your situation, don’t give up. Remember what Winston Churchill said: If you’re going through hell…keep going. Whatever the situation, it will get better.