Randy Curnutt

Hi Susan!

I would be happy to assist you with your REO/Short Sale search in Anthem. There really are some fantastic deals out there right now. I am not sure if you are aware, but Pulte/Del Webb is also building a brand new Anthem in Florence, where the prices are ridiculously low.

If you help me narrow down your preferences, I can try to help you locate a home that will meet your needs.

--What particular price range did you want to stay within?
--What community amenities are important to you (i.e. active adult, gated, golf course, rec center, park, etc.)?
--What home features are important to you?
--Are you interested in new construction, or are you looking for a home that is ready for move in immediately?
--Will you be financing or paying cash?

Please let me know how I might be able to assist you with your new home search. You can also visit my website, www.buyanewhomeinaz.com and learn more about the "new Anthem" at Merrill Ranch, or simply search my listings or other phoenix area MLS listings.

Randy Curnutt
Realtor
Guardian Realty & Investment Group, LLC
602-677-1002
randy@buyanewhomeinaz.com - Sun Apr 6 2008, 12:48

Hi Anna,

I would first recommend contacting a realtor and having them give you their opinion as to what your home is really worth, and how much it may sell for. If you purchased it in 2006, however, you may not be lucky enough for the home to be worth more than you owe.

In a declining housing market, the value of a home sometimes falls below what is owed on it. When you can no longer pay the amount owed, you have several options. You can try to hand over your deed to your first mortgage holder. But they might not accept it, since they'd still be on the hook for legal fees, taxes as well as your second mortgage. Or you may just let the house fall into foreclosure. But that should only be a last-ditch approach because it severely hurts your credit rating.

Another alternative is a short sale -- that is, a sale in which the proceeds fall short of what you owe. It can be a win-win situation for you, the lenders and the buyer (often an investor) of your house. But since you're asking lenders to accept less money than you promised to pay them, there's no guarantee that they'll go along with such a sale. And preparing for it will take considerable work on your part. The main benefit is that you avoid having a foreclosure on your credit.

First, you must prove that you really can't pay your loans -- and that the reason is new, not something that you concealed from your lenders when you originally applied for the loan.

Then you or someone else, like a real-estate agent, must find a buyer willing to purchase your house at market value. Market value can be determined through a formal appraisal (your lender may insist on one) or by an agent's comparative market analysis.

You or your agent also must figure out all the costs of selling the property. That includes the balance of both loans, accrued interest up until the day of closing, closing costs and fees, and unpaid property taxes.

You then must present the facts to your first mortgage holder, which has the top lien position and gets paid first. This isn't as simple as it may sound. What the lender wants upfront is a hardship letter from the seller, a contract between a buyer and seller and an estimated settlement statement. The lender may counteroffer and you continue to negotiate. Remember, the last thing a lender wants to do is foreclose on a home. If a lender puts the house in foreclosure, it has to clean it up, paint it, replace the carpet, list it on the market, pay a broker's commission and other closing costs as well as maintain the property while it sits waiting for a buyer.

Many lenders are not prepared and not accustomed to short sales and that can be a challenge for real estate agents and their clients. Realtors need to build a relationship with the bank on a short sale, when possible, they should meet with the loan officer and provide them with as much data as possible on the house and the market.

If your plan will bring them more money than they'd get if the house were sold at auction, they'll most likely go along with it -- and sometimes pick up some of your costs as well, like real-estate commissions and closing costs. However, it may be difficult to get your second mortgage holder to sign off on the deal because if they do, they might not be repaid what they’re owed. But they may be willing to go along with a short sale if the buyer or the first mortgage holder offers to pay them some money, especially if the amount you owe on your second mortgage is small.

As you can see, setting up a short sale is complicated and requires some negotiating finesse. Although money is probably tight for you right now, I think it would be worthwhile to consult local professionals with experience in the process, including a tax advisor and a real-estate agent.

Please don't hesitate to contact me if you would like some assistance.

Randy Curnutt
Realtor
randy@buyanewhomeinaz.com
602-677-1002 - Tue Mar 25 2008, 00:13

Hi Tim!

I am sorry to hear about your previous negative property management experiences. My company runs a relatively small, simple property management division, so you can be assured personalized service. We developed it specifically to cater to our investors, and intend to keep it small.

Where in the Phx metro area are/is your property(ies) located? I can tell you that what attracted me to this broker the most was the reputation that she has for being knowledgeable, having integrity, and ethics to boot!

Please don't hesitate to contact me if you would like to discuss your property management needs in more detail.

Randy Curnutt
Realtor
Guardian Realty & Investment Group, LLC
602-677-1002
randy@buyanewhomeinaz.com - Fri Mar 21 2008, 23:40

Hi Margaret!

I'm sure selling long distance is nerve wracking, and you want to be sure you are not being taken advantage of. Of course, agent fees are always negotiable, but generally speaking 6% is pretty standard in the industry. Typically, the buyer's agent/broker will be paid 3% and the seller's agent will be paid 3%. In my personal opinion, you want to be sure that you are offering the buyer's agent at least 3%, so if fees are reduced, it would more than likely be on the seller's side. I would absolutely recommend shopping around, and interviewing at least two other agents and reviewing their individual marketing plans. Check out their websites and ask them for their stats. Find out where each agent recommends you price your home to sell and why. How do they embrace the internet to market your home thoroughly? How often will the commit to do an open house until your property is under contract?

If your broker has informed you that "everything is negotiable", it sounds to me like he/she has opened the door to negotiation. Bear in mind, the more you pay, the more motivated your agent will be to focus the extra time necessary to actively market and sell your home. These days, your agent will need to work harder than ever. It may not be worth saving 1% or so, which is about the best discount you may find.

I would also suggest outlining specifically what the rate will be if the agent finds their own buyer, and is essentially a "dual" agent, and what the rate will be if YOU find the buyer. Trust me, it happens, as no one is more motivated to sell this property than YOU!!

Please visit my website athttp:// www.buyanewhomeinaz.com for more suggestions regarding a successful sale. Good Luck!

Randy Curnutt
602-677-1002
randy@buyanewhomeinaz.com - Thu Mar 20 2008, 02:06

Find a local agent willing to take ALOT of pictures and who knows how to use the internet!!!! I have been doing a lot of business lately with Canadians, and some days go through multiple packs of batteries with my digital camera. I agree with Ilona, you are really going to need to get financed by a US lender, unless your lender is financing you against another property that you already own, in which case you would essentially be paying cash here in the US.

Why a condo in Mesa? Are you moving back to the area or will this be a second home? What price range? What features of the home and neighborhood amenities are important to you?

Please let me know if you would like some assistance with your long distance home purchase.....I take great pictures!

Good Luck!

Randy Curnutt
randy@buyanewhomeinaz.com
602-677-1002 - Thu Mar 20 2008, 01:49