The foreclosure crisis has reached deep into the pockets of people in Orange County. Foreclosures, in combination with a poorly performing economy, have depressed housing prices putting many underwater on their mortgages. Government programs meant to help homeowners have only lead to more distress and confusion. Meanwhile, attorneys general in 50 states are looking into the foreclosure practices at many of the major banks with an assumption that these banks have acted improperly on many foreclosures. In Orange County, as many as 7.15% of home-loan borrowers are 90 days or more late with their house payments.
If you're a homeowner underwater on your mortgage or simply unable to pay your mortgage, the situation can seem dire. However, simply because things seem like a mess doesn't mean that there aren't people who can help you sort out your mortgage situation. Homeowners have an opportunity to avoid foreclosure and there are experts who can help you take advantage of that opportunity.
An alternative to foreclosure is a short sale. A Short Sale is the sale of real estate in which the sale proceeds fall short of the balance owed on the property's loan resulting in the lender forgiving debt in order to avoid foreclosure. The thing to know about Short Sales is that they are more complicated than standard sales as they require much negotiation with the bank and prospective buyers. For a short sale to succeed, you need people with short sale expertise who understand the process and can push the sale through to completion.
If you think a short sale might be right for you, here's what you need to do to get started:
First, find a reputable real estate agent with a track record of success in short sales. Short sales are not the same as standard (equity) sales and they require a knowledgeable person to see them through to the end. Don't rely on tag lines like "short sale expert." Paper certificates from a brief seminar aren't good enough. Ask to see proven results.
Second, make sure you have an attorney reviewing the terms of the sale. A good short sale attorney may be able to eliminate "recourse" language from the sale thereby stopping banks from trying to collect on your mortgage debt in the future.
Third, don't hide anything about the home. When you find an agent, tell them the full story so that nothing surprises either the agent or the bank. When negotiating a short sale, surprises put the success of the sale at risk.
Finally, be ready to wait. Unlike standard sales, short sales require negotiation and negotiations take time.
We recommend you work with Fitzpatrick and Prince Real Estate and Rasmussen Law Firm. They have a proven record of success having closed 95% of their short sales. Nationally, the average short sale closure rate is only 20%. Additionally, these companies have worked together on a number of short sales, they understand how the other operates, and can move quickly, together, to negotiate with the banks to close your short sale. Start the conversation today with Mark, Whitney, or Blake at Fitzpatrick and Prince Real Estate.
Give them a call at: 800.880.9962.