| Forclosed homes in Ann Arbor are on the rise, even | | | | candidate for a short sale. |
| though Ann Arbor is still one of the economic hubs of | | | | Each of these will be explained briefly. |
| Michigan. | | | | Foreclosed Homes in Ann Arbor |
| But the reality is that despite the University of Michigan, | | | | First, the investor must be able to discount your |
| and all the companies doing business in Ann Arbor, the | | | | defaulted mortgage otherwise there is no profit, and, |
| town is feeling the crunch of the state's overall bad | | | | therefore incentive, in it for him. If your mortgage |
| economy. Pfizer pharmaceuticals, for example, | | | | balance is, say, $200,000, then the short sale investor |
| recently announced that by the end of 2008 they will | | | | may make a case for the bank to let him buy the |
| be closing up shop, which will mean the further | | | | defaulted note for, say, $150,000, thereby creating |
| disappearance of a couple thousand jobs from the | | | | $50,000 in equity. The bank, if it accepts the short sale, |
| Ann Arbor area. | | | | will require the investor to close soon on the house |
| Unfortunately, foreclosed homes in Ann Arbor is a sad | | | | (usually 30 days after short sale acceptance) and that |
| testament to these economic realities. | | | | it be purchased all cash. |
| If you're an individual or couple faced with the possibility | | | | Why would a bank allow a short sale? For the simple |
| of soon becoming one of the forclosed homes in Ann | | | | reason that it costs a lot of money to have a property |
| Arbor, all is not lost. | | | | go through foreclosure and it may be cheaper to wipe |
| This article will educate you on some facts, and some | | | | off a non-performing asset from their books now |
| strategies that can help you avoid or stop the | | | | rather than pay more later. |
| foreclosure. | | | | How do you benefit? |
| First, your pending foreclosure, whether you like it or | | | | Forclosed Homes in Ann Arbor |
| not, is public record. When you've missed 3 payments | | | | You benefit because if the real estate short seller will |
| on your mortgage, you enter preforeclosure stage. | | | | then own the property and take over the holding costs, |
| The lender (usually the bank) passes off your info to | | | | and risks, while you walk away before the foreclosure |
| an attorney who then files your information for 4 | | | | happens, thus sparing your credit for taking a significant |
| weeks. 28 days later your home will be auctioned off | | | | hit. In short, you get to move on with your life with less |
| on the Washtenaw county courthouse steps. | | | | damage and sooner. |
| Your info must be submitted by the attorney for 4 | | | | Another option when working with a real estate |
| weeks and will appear in a paper called The Legal | | | | investor is the lease option, also called a rent to own. If |
| News, which is accessible to anyone in the public who | | | | you are facing the prospect of being one of the |
| wants it. | | | | foreclosed homes in Ann Arbor, you may allow an |
| There is a right of redemption period in Michigan that is | | | | investor to try to find you a tenant-buyer for your |
| usually 6 months if your home is owner occupied, but | | | | property. |
| only 30 days if it's vacant. | | | | If he or she can find one in time, then you can allow |
| Foreclosed Homes in Ann Arbor: Options to Consider | | | | you home to be taken over on a rent to buy basis and |
| If you work in tandem with a real estate investor, you | | | | the tenant-buyer will then assume your monthly |
| have a couple of viable options to avoid the | | | | mortgage payments, with an option to purchase the |
| foreclosure. | | | | house at a later date. Again, you get to avoid |
| One option is called a short sale. It's not something you | | | | foreclosure, but will have to move out of your home |
| can do yourself. It's something a real estate investor | | | | and on with your life. |
| would have to do. You would have to come to an | | | | The third option to consider to stop a foreclosure is |
| agreement with the real estate investor that you'll allow | | | | talking to an attorney about filing for bankruptcy. But be |
| your home to be short saled. | | | | careful when considering this option because a |
| The investor will then have to work with the loss | | | | bankruptcy will leave your credit in upheaval for many |
| mitigation department of your lender to try to discount | | | | years. And it also will not allow you to keep your home |
| the defaulted mortgage and build a case of hardship | | | | in the end, anyway. |
| for you, and also for why your home is a good | | | | |