Short Sales in North Carolina are not the best idea. If a deficiency judgment is entered and the probability of this is high it is for a ten year period here in North Carolina, In addition it can be renewed by the lender indefinitely and each renewal is for 10 years.
This is a banking state and you are kidding yourselves if you believe for one moment that the lender wonâ€™t be filing a deficiency judgment and wonâ€™t renew it. As long as this exists on your record your chance of ever getting another home loan is zero until you pay it off in full and moving to another state will have no effect on this.
I am not speaking of other states many of which are much more consumer friendly than is North Carolina, when it comes to Short Sales.
Currently the average time to even get permission from the lender for a short sale in NC is 148 days. It can certainly be longer.
The vast majority of real estate agents have absolutely no business involving themselves in short sales and have no idea of the process or the massive amount of paperwork involved. If they did they would never touch a short sale. I have the experience and the knowledge and will not touch a short sale. There is no reason a Buyer should be interested in one given the number of REO properties available as well as the number of straight sales with motivated Sellers on the other side. Thereâ€™s no reason for a Seller to consider a short sale, there is no benefit for them and honestly many will never get approved anyway, all they are doing is spending time and getting further in debt. Many of these Sellers have significant consumer debt (credit cards) many owe back taxes on the property and or income taxes. To the state or federal government. Depending on their level of debt Bankruptcy may be their best alternative. If they do not have significant outside debt and have access to funds (401Kâ€™s, IRAâ€™s, RothIRAâ€™s whole life policies etc) these will be required to be used to settle their debt to the Lender.
If your really wish to advise your client/customer to the best of your ability, you will advise them to sit down with a real estate attorney and their financial planner or accountant if they have one and explore Foreclosure or Bankruptcy and you will discourage them from considering a short sale which is very unlikely to serve their long-term needs well.
Iâ€™ve gone through bankruptcy many years ago related to Hurricane Hugo, despite what you may believe, itâ€™s not the end of the world and within three years I was able to get a mortgage and buy a home.... more
Kate, Iâ€™m a Real Estate Broker in Chapel Hill and regularly work with Buyer clients who are pursuing bank owned properties. I am extremely familiar with foreclosure properties; in the past I represented Banks and now with I work exclusively with Buyer clients. I do not recommend bidding for Foreclosures on the court house steps for a number of reasons. In short I feel they are simply too inherently too risky. In my opinion itâ€™s better to let the mortgage lender get the property and clear up any and all outstanding liens and then purchase it directly from them. The procedure at that point is fairly straightforward and I have helped 7 clients this year alone buy property in this manner and am currently working with a new buyer client on an 8th transaction.
You want to find someone you can trust and who has the experience to assist you in your due diligence and who will help you to minimize the risks involved whenever you are buying a property that will be sold â€œAs-Isâ€ You do not want to work with someone who isnâ€™t familiar with the process and hasnâ€™t done this numerous times.
If I can be of any assistance to you, please let me know.... more
Youâ€™ve heard it before; you get what you pay for. Free evaluations listed on websites are nothing more than a very rough approximation. In the Chapel Hill / Durham area Zillow admits that 80% of the time they are within 10% of the real value. This means that on a $300,000 home they could value it between $270,000 and $330,000 which is a $60,000 spread. And this is the best they do, 1 out of 5 times they acknowledge not even being that close.
I am a local Realtor working in Chapel Hill / Durham and north Chatham County. I specialize in Buy Side Brokering and will not work both sides of a transaction which is the norm here in North Carolina. I will diligently search for properties that meet your specific criteria. Once you find a property you want; I will analyze its true market value and show you how the neighborhood has trended over time. Iâ€™ve been negotiating some very attractive prices for my clients this year with discounts ranging between 3-15% off of asking prices. The average has been just over 6%.
If I can be of any assistance to you, donâ€™t hesitate to contact me.... more