How to do a short sale on a home

Are you facing a tough situation that is preventing you from paying your mortgage payment? Distressed homeowners may have an option called a short sale. A short sale occurs when a lender agrees to accept less than the owner owes on their mortgage so that the sale can take place. The best way to do a short sale on a home is by hiring a Certified Distressed Property Expert who understands the process and has experience successfully closing these types of transactions.

In order to do a short sale you will need to provide your lender with documentation that will be used by them to determine if your personal situation qualifies for them to accept less from you than is owed. This documentation will include:

• Mortgage information and statements for all mortgages on the home
• Personal accounts information including your checking and savings accounts
• Income documentation including recent pay stubs and tax returns
• Financial worksheets and a hardship letter written by you that explains why you are unable to make your mortgage payments and what prevents you from selling your home for the full amount owed.

Providing your lender this information is one of the first steps on how to do a short sale on a home. If you believe a short sale will help you or someone you know, call me to learn more about the process.

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Buying a short sale house

Buying a short sale house could end up with the buyer purchasing a fantastic home without having to spend over their budget. Owners having to sell their home with a short sale contingency will often price them to sale, which means at or slightly below market value.

Buying a short sale house


A buyer of a short sale home needs to understand the differences in processing the transaction.

• The time to close could be extremely long.
• The seller may not be able to make repairs to the home.
• The seller may have had power disconnected that would require the buyer to turn on utilities for their inspection.
• The lender may simply choose to ignore the deal completely and foreclose on the home.

With thousands of homes being offered for sale subject to a short sale, a home buyer would not want to ignore the possibilities of purchasing one of these homes. Patience and caution are suggested if you get involved with a short sale transaction. It would also be wise to use the services of a real estate agent qualified to navigate the short sale process successfully.

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The unemployment rate in Florida will create short sale situations for home owners

According to the Florida Agency for Workforce Innovation, the unemployment rate in Florida for September 2009 is 11.0 percent. The unemployment rate in Florida has and will continue to create short sale situations for those home owners who have lost their job.

Short Sale

A short sale is created when a home owner is caught up in a distressed situation that makes it impossible for them to make their monthly mortgage payments. When modification or refinancing is not an option, the home owner can choose to list their home for sale, subject to their lender agreeing to accept less than is owed. The loss of a job is a valid reason to approach a lender about short selling the home.

Why would a seller choose to short sale?

Faced with short selling or foreclosure, a home owner may decide on short selling with the future in mind. Eventually the seller will find new employment and may want to start to saving money with the goal of buying another home. A foreclosure on their credit report will increase the number of years it might take to find a lender to approve them for a loan as compared to a short sale.

Each situation is different and if you have recently lost your job and are falling behind on house payments, call your lender immediately. You may also want to speak with an attorney about your personal situation. If you decide your best course of action is selling subject to a short sale, then call me. As a Certified Distressed Property Expert, I can help you work through the short sale process.


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How do you compete with the other 6,000 plus home owners selling their home as a short sale?

A distressed situation has forced you to list your home contingent upon the bank agreeing to accept less than you owe. This type of listing transaction is referred to as a short sale. Short sales are a common occurrence throughout Central Florida including; Osceola, Seminole, Orange, and Volusia counties.

Your situation is not unique. Short sale listings make up a large portion of the active real estate inventory. So how do you compete with over 6,000 plus home owners selling their home as a short sale? That's right, right now in the 4 counties mentioned there are over 6,000 homes listed for sale subject to the lender accepting a short payoff.

How do you make sure your home attracts buyers and receives an offer? You accomplish this the same way it has always been accomplished. The process to market and secure a buyer for your home remains unchanged even though it is a short sale.

• Proper Pricing. A home priced correctly will always attract the attention of buyers qualified in that price range. One of the first steps should be to research sales in the area in order to determine a price that is not to high or to low. Listing the home at real market value will result in offers.
• Market the home correctly. What makes your home standout from the competition besides the price and the fact that it is being sold as a short sale? Don't let yourself be short changed by the marketing efforts of the agent you hire. MLS comments are require to notify all that the home is subject to a short sale but even with the proper disclosure verbiage, there is plenty of room to describe features and amenities that buyers will find desirable. You should expect to receive full marketing efforts from the company you hire.
• Choose and experienced agent. It is important to make sure the agent you hire has short sale experience. When I say experience I am talking about not just in listing short sales but in getting them to the closing table. Ask if the agent has any formal training. Do they have the CDPE designation? Certified Distressed Property designated agents understand the process from beginning to end and are more than capable of helping you out of your situation by selling your home.

I understand you are under a tremendous amount of stress right now. You can reduce some of your stress by listing, receiving offers, negotiating with your lender and closing the sale with an agent who knows how to compete and win against the competition.

Kissimmee haunted house is the perfect scare this Halloween!

The Parks and Recreation Department of Kissimmee will be the host of this year's spooky Halloween haunted house! The house is in downtown Kissimmee at 300 E. Monument. For $3.00 per person you can visit the haunted house from 7 pm - 11 pm on:

• October 23
• October 24
• October 30

For more information about the Kissimmee haunted house call 407.847.2388.

Speaking of houses, It does not have to be scary to sell or buy a home in Kissimmee.

Orange City Halloween Block Party

Orange City will be holding it's “Annual Halloween Block Party” on Saturday, October 31, 2009. The event will run from 6:00 pm till 9:00 pm.

The Halloween festivities include:

• A haunted house
• Live Music (dead music would seem more fitting being Halloween and all)
• A rock wall
• Games & prizes

The event should be fun for everyone! Detailed info

House worth less than mortgage?

Are you caught in a situation where you owe more on your mortgage than your house is worth? Have you recently lost a job, been ill or faced some other hardship that now has you behind or about to fall behind on mortgage payments? Don't give up, there may be help available for you.

Call your lender immediately. It may be possible for you to make arrangements to catch up on missed house payments or even modify your existing mortgage reducing your monthly obligation.

Speak to a HUD approved housing counselor. The Government have programs in place designed to assist home owners facing foreclosure.

Talk to a short sale expert. As a Certified Distressed Property Expert, I can walk you through the process of selling your home for less than owed on the mortgage with your lender's approval.

Call me for a confidential discussion about your personal situation.

Greg Staker
407-304-0255
Watson Realty Corp.

Are your expectations in line with the current Florida real estate market?

As a buyer or a seller of a home or property in Florida, are your expectations in line with what the market is saying?

Buyers

• Are you aware that short sale transactions can take longer to close than traditional deals?
• Did you know that bank owned/foreclosed property will often receive multiple offers which will push the final sales price higher than the initial listing price?
• Time is running out in order to take advantage of the first time home buyer tax credit and there are no guarantees the credit will be extended.

Sellers

• Over pricing your home is not a good strategy in this market. Testing the market usually results in a failing grade.
• Trying to short sale your home simply because it is no longer worth what you paid for it is not considered a valid reason by your lender.

Buyers and sellers need to manage their expectations. My job is to make sure that you know going in what to expect, and to explain how we can work together to make sure you receive favorable results.

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When is a building permit required in Casselberry

Casselberry is located northeast of Orlando and is one of the fastest growing areas. According to the city website, a licensed contractor will need to pull a building permit when:

• Building a new residential or commercial building.
• Maintenance and repairs exceeding $500 in labor and materials.
• Electrical work.
• Replacing air conditioner unit.
• Installing water heater.

For specific work please call the City of Casselberry or visit their website.

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You can receive alerts when offenders move into your neighborhood

Are you worried about an offender moving into your neighborhood without your knowledge? You can receive alerts when offenders move into your neighborhood from the Florida Department of Law Enforcement.

Listen to the Florida Offender Alert System public service announcement.

Halloween Radio PSA [2009] @ Yahoo! Video

10,000 square foot house

I came across this article from The Wall Street Journal about a house in New Jersey that is over 12,000 square foot. Man that is a big house. I started wondering how many big homes are there for sale in my Florida market which includes, Seminole, Orange, Osceola and West Volusia.

According to results from today, there are 27 homes listed for sale right now that have at least 10,000 square feet. Prices range from $900,000 to over $12,000,000. The largest home listed is in Isleworth coming in at over 16,000 square foot.

The home mentioned in The Wall Street Journal has a dance floor. I am sure we can find a spot in anyone of the 2 dozen plus big homes for sale in Central Florida for a little boot scootin boogie.

High End Property Deals

I have posted many times about bargain and cheap homes that are available on the market throughout Orlando, Kissimmee and Central Florida. There are other deals to be found right now that include the high end property.

High end property are those houses and condos listed for $1 million or more listed in the Orlando-Kissimmee, Central Florida market.

High end short sales

In the 4 county area, Osceola, Orange, Seminole and West Volusia right now there are nearly 3 dozen homes listed above 1 million that are subject to a short sale. These include homes that are:

• Custom homes
• Homes on ski lakes
• Acre + lots
• In gated communities
• Situated on a golf course fairway

Starting list prices run up to $3.5 million.

High end REO

Our market also includes a handful of REO/bank owned high end property. These homes offer heated square feet ranging from 4000-8000 and have construction dates from 200-2009.

There are deals available in all price ranges. For additional details, give me a call.

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City of Longwood Halloween Event

Longwood will be hosting the 2009 Halloween event on October 31st from 4 p.m - 7 p.m. This fun event for children will be held at the Longwood Police Department. Activities include:

• Costumes contest
• Candy
• Bounce houses
• Games
• Food

Please visit The City of Longwood for more information.

Lake Mary Halloween Trick or Treating

Lake Mary will be presenting their 2009 Halloween Spooktacular on Saturday, October 31st from 5:00 pm until 8:00 pm.

The Spooktacular will include:

• Costume Contest
• Music
• Candy
• Games
• Fun, fun, fun!

The event will be held in Central Park in Lake Mary.

3 common code violations in Casselberry

In any community neighbors should respect their fellow neighbors and maintain their property in a manner that does not distract from the beauty of the community or reduces the enjoyment and or value of the community as a whole.

In Casselberry, the city will use code enforcement to make sure everyone works towards the same goal of maintaining property values, safety and overall appearance and condition. 3 common code violations in Casselberry are:

1. Failure to take care of your yard. The grass needs to be cut, fallen limbs and brush needs to be picked up and disposed of.
2. Not getting rid of the broken down clunker. Disabled and/or unlicensed vehicles have a home in the junk yard and not your front yard.
3. Allowing trash to collect. Trash belongs in a can and not all over your lawn or neighborhood.

You can visit Casselberry's information page to find 7 other common code enforcement violations.

Halloween at Cranes Roost Altamonte Springs

Altamonte Springs is offering an alternative for children on Halloween. Instead of going door to door, kids can attend an event at Cranes Roost where they will be able to visit local business and sponsor booths to receive candy. Other events will include:

• costume contests
• inflatable games
• live entertainment

The event will be held on October 31, 2009 from 5 p.m. - 9 p.m. Visit the Altamonte Springs city website for detailed information.

Florida to receive grant to assist with unemployment systems

With so many in the State of Florida collecting unemployment the Department of Labor has awarded Florida $1,573,298 in grant money to use for improving services including:

• modernizing systems
• speed up payments
• improve overall program integrity

The goal will be to strengthen the infrastructure so that those out of work can rely on collecting their unemployment money while actively searching for new employment.

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