Ezra Sturgis

Yes, you can....JP.

A pre-foreclosed home is called a Short Sale. This process is handled the same as a normal Real Estate Transaction, except that the Listing Agent also has to "Negotiate" a Short Pay with the sellers lender. A Short Pay is when you are asking the Lender to allow the Sale of the house, for less money than is owed...including paying for all the Seller's fees Associated with this transaction.

A Short Sale isn't approved just because someone wants to get out of a bad investment. The seller must have recently suffered a financial hardship, must be late or not paying on their mortgage (typically in Foreclosure), and must not have the 'perceived' ability to repay that debt.

It is the Real Estate Agents job to 'pre-qualify' the seller. After qualifying the seller, the Agent would then do an 'internal BPO' (Broker's Price Opinion), and try to list the house appropriately, taking into consideration that the bank is also going to do their own BPO...and determine their own value. If the agent doesn't know how to do a BPO correctly, the house will be listed WRONG and not get approved. The bank typically would 'counter' with a higher figure. The Agent would need to be able to show the bank 'evidence' supporting the lower value. This would begin the 'negotiation process'. This is where most agents lose the battle.

In addition, there is a certain way to deal with the lender (seller's finance company). Lenders typically have multiple layers of 'screening' before you get to the 'decision maker'. If you don't know how to get to that person, you basically just spin your wheels submitting the documentation to people who say that they never received it...and make you re-send it 5-6 times. Ultimately, the file gets lost and just becomes one of the files in the HUGE stack of files sitting on the floor.

You basically got 1 shot to get the deal done. It's up to the listing agent to 'know' how to do this. If priced correctly, the house will sell itself.

You really need a mortgage negotiator on your side, one who is also a REALTOR®...who can list your home AND negotiate the deal. This is what a Short Sale Specialist is. An Agent who could represent YOU as the buyer, to help YOU complete your purchase. Or represent the 'seller', to negotiate with the lender to complete THEIR Short Sale.

I recently opened a company here in Orange County, just for people like you. We will help you find the house of your Dreams, submit and negotiate the deal, and get your transaction CLOSED.

Visit my website and check it out. Shoot me an email....I will help you.

Kindly,
Ezra Sturgis - Tue Apr 29 2008, 03:04

Hello Montessa,

You will be able to find 'pockets' of affordable homes in ANY town/county that you look in. Also, Orange County is full of "Distinguished Schools". Schools that pride themselves in higher education practices. Also, FHA loans are quite beneficial for 1st Time Home Buyers, 97% financing, allowing credit scores as low as 580.

To search for Listings, Short Sale Listings, REO's, mortgage loans, local businesses, schools, and probably most of everything else that you may need....visit this site. OC ShortSale Arena

If, after viewing the site, you would like more assistance....please fill out the Buyer's Questionairre. Or, feel free to send an email or call me directly at the number listed. The process isn't really that hard if your Agent knows what they're doing. Not only am I a REALTOR®, but I spent the last 7 yrs running a Mortgage Bank and Negotiating loans. I CLOSE deals. - Tue Apr 29 2008, 02:47

Hi Ray,

You can be sure because we are obligated to. Like mentioned below, we have a 'fudiciary obligation' to your clients. The problem however, is much more complex than just submitting your offer to the bank. There is very much a 'strategy' involved in closing these transactions, the same as closing a Short Sale Transaction. In most instances, a 'low ball' offer is just going to be overlooked in today's market. That's not to say that there aren't any 'bargains' out there, but you need to have realistic expectations as well. There are alot of people out there right now, looking for great deals. This is why you need to have someone represent you...someone who is competent and capable, in "Today's" market.

If you are serious about finding a good investment, and you are qualified to purchase it when it comes available, I will help you. May I suggest reading my Short Sale FAQ's page, fill out the Short Sale Buyer's questionaiire, and to search the Short Sale Listings per city.

My site is listed below, in the web reference box. I have been negotiating with mortgage lenders for the past 8 years. I am also a REALTOR®. ....And I can CLOSE deals.

Kindly,
Ezra Sturgis - Tue Apr 29 2008, 02:24

Hello Anurag,

This would be an exceptional deal, especially since this would be purchasing the house under value.
If you are seriously interested in placing an offer on this property or any other Short Sale Listing, you should visit this site: http://www.ocshortsalearena.com

This site will give you all the FAQs about buying and selling Short Sales. And while you are there, you can also find other Short Sale Listings in your target area. Short Sale Listing are broken down to each city, and will show you a full MLS profile of each property....including other vital statistics that you may find useful in your purchase process. If you find our services useful, you will find my direct contact information listed on our site. Our services are free to you. We get paid from the 'Sellers Lender' upon the close of the transaction.

Thank you for your question, and I look forward to speaking with you soon....

Kindly,
Ezra Sturgis - Tue Apr 29 2008, 01:52

Hi Noreen,

The truth is, no one knows how far down the market will go, when the market will start to correct, or how fast it will gain appreciation at that time. Orange County has lost a substantial amount of value over the last 12 months. There are definately some 'very good' buys out here today, and I suppose that there will be some 'very good' buys here for years to come. Some homes have already hit bottom, while others won't suffer for months or years to come. An astronomical number of people are having financial difficulties, facing Bankruptcy and possibly Foreclosure. These may be the same people that bought magnificent homes, did full remodels on them, and are now selling the same home for $200K less than what they bought it for 2-3 years earlier. This situation is prevailant, and just what you should be looking for.....a Short Sale. In today's Real Estate Market, normal listings are becoming less frequent, and Short Sale Listings are becoming more prevailant. This doesn't mean that it's a bad time to buy, it just means that you need to use a different buying strategy than you would have during the past 7-8 yrs.

To learn more on this strategy, please visit this website: http://www.ocshortsalearena.com

This site will not only allow you to research the MLS for free, you can also research Short Sale Listings. There are links set up for Short Sale Listings in every city in OC, and all surrounding areas, including Fullerton and Buena Park. If you don't see what you are looking for there, you can fill out a short questionairre about the specific type of property that is most appealing to you, and I can email those to you as soon as they are placed on the market.

We can use the same philosophy on the purchase of a new home. And you can also find a great deal in doing so. However, HOA's and Mellow Roos sometime hurt the resale price. HOA's and Mellow Roos can very easily add an additional $400-1000 a month to your normal mortgage payment. This additional payment could also afford you a much nicer home elsewhere.

Regarding Closing Costs, I would set aside approx. $10K, in addition to whatever down payment you are required to deposit. Even if your closing costs come in lower, atleast you played it safe. There's nothing worse than to have to scramble at closing, trying to come up with some unexpected money.

Whether you choose to live in Orange County, Fullerton, Buena Park, or any other surrounding area, there will always be good and bad parts of town to be in. All of the areas that you are looking at will have a very healthy mix of people, places, and things to do. Most agents should be able to provide you with more details about each particular sector, and even help you with resources for your move.

If I can help you any further with your search, or you have any additional questions that you would like to address just to me....please feel free to contact me directly.

Wishing you the best in your searches,
Ezra Sturgis - Tue Apr 29 2008, 00:51