| Lots of qualified buyers have decided this is a great | | | | Actually, buying another property as they qualify for |
| time to buy a home as prices are a fraction of what | | | | both and letting the bank take the higher priced one |
| they were a few years ago. This is a very good time | | | | away. Thus, making the first home now a Bank |
| to consider the possibilities of finding the perfect home | | | | Owned Property and selling for a fraction of what is |
| for a great price. | | | | really owed and the bank taking the hit. |
| If you are looking into buying and it seems that the | | | | A Short Sale is a homeowner that is either upside |
| best deals out there are Bank Owned and Short Sale | | | | down on their home (owing more than it is currently |
| homes you are not alone. These homes are the driving | | | | worth) and unable for whatever reason to continue to |
| force in bringing sellers prices down to even get any | | | | make the payments. Much of this was caused by the |
| traffic much less an offer. It is a "buyers market"and | | | | high interest ARMS and balloons that lenders gave to |
| sellers are feeling the pain. | | | | buyers a few years ago, especially buyers who really |
| A Bank Owned home is exactly what it sounds like. | | | | should never have qualified for this large of amount in |
| The owners defaulted on their loan and missed so | | | | the first place buy our lending rules were far too lax. |
| many payments and the bank foreclosed on them, | | | | This borrower is working with the bank to get the |
| vacated them and now owns the home as collateral | | | | home sold for say 70-80% of what is owed and NOT |
| to the loan that was not paid off. What happened is | | | | let it go into foreclosure. This is someone who is |
| the owner borrowed a certain amount of money to | | | | legitimately trying to work with the lender in it not |
| purchase the home and then was unable for any | | | | becoming a foreclosure. |
| number of reasons to continue the payments and | | | | Unfortunately, because there are so many of these |
| basically were either forced or walked from the home | | | | loans and it takes an offer before the bank can even |
| and their loan. | | | | consider taking a portion of what is owed to them a |
| We are seeing too much of this in today's market and | | | | short sale actually should be called a "long sale" as |
| unfortunately, homeowners think this is an answer to | | | | they take weeks and even months to get an |
| the fact that they may have paid more for the home | | | | agreement to an offer from the lender. This is driving |
| than the guy next door paid. This is NOT an answer | | | | buyers absolutely crazy and many end up moving on |
| and our laws do not have a penalty on taxes or any | | | | and either buying from a homeowner or a bank |
| other financial obligation for homeowners that simply | | | | owned. If you are looking into a short sale possibility |
| buy another home and walk from their current one. | | | | you MUST be patient, there is nothing that either your |
| This is hurting the market even more than the people | | | | real estate agent or the sellers agent can do to speed |
| really hurting and unable to continue their payments. | | | | up the process except by constantly staying on top of |
| We should be ashamed of ourselves if we even | | | | the bank and this usually gets them nowhere. If you |
| consider this to be an answer and too many people | | | | need to be in a home in a reasonable amount of time |
| who are well qualified are doing just that. | | | | you may not want to consider a short sale. |