Short Sale Chicago

Avoid Foreclosure. I Can Help.

* WHAT IS MY BEST OPTION: SHORT SALE OR FORECLOSURE?

Is a Short Sale or a Foreclosure My Best Option?

by The KCM Crew on May 4, 2011

We get asked this question quite often. In a rapidly changing market, it is difficult to give absolute answers. Much depends on your family’s personal situation. However, if you realize that you can no longer make the payments, you may have to decide between doing a short sale or letting the home go to foreclosure. Here are three things you may wish to consider:

1.) Impact on Your Future Ability to Get a Mortgage

There are many different lending institutions, each with their own requirements when it comes to your ability to obtain a mortgage in the future. However, a common trend is to be much more lenient with someone working through a short sale rather than letting the house go to foreclosure. As an example, the Fannie Mae site, Know Your Options explains you:

May be able to get a Fannie Mae mortgage to purchase a home sooner (in as little as 2 years) than if you went through foreclosure (at least 7 years)

You can get further information here. However, in a rapidly changing environment, make sure you get the latest information available from the actual lending institutions mentioned.

2.) Impact on Your Credit Score

There has been much dialogue on this issue. The question is whether or not a foreclosure will have a more severe impact on your credit score than a short sale. A recent FICO study sheds needed light on this question. Here is a chart from that report.
Read more

May 4, 2011 Posted by | Foreclosures, Short Sales | , , , , , | Leave a comment

* BANKS FORCED TO ALLOW SHORT SALES FOR DELINQUENT BORROWERS?

Proposed settlement would force banks to allow short sales for delinquent homeowners

The proposed deal among banks and government officials is aimed at stabilizing the real estate market and helping underwater borrowers who are months behind on mortgage payments avoid foreclosure

By Jim Puzzanghera and Alejandro Lazo, Los Angeles Times March 30, 2011
Reporting from Washington and Los Angeles

Major banks may be forced to let severely delinquent homeowners sell their houses for less than the loan amounts owed as part of a broad settlement of federal and state investigations into botched foreclosure paperwork, according to government officials involved in the negotiations.
The requirement to allow so-called short sales would be in addition to forcing mortgage servicers to reduce the amount some homeowners owe on their loans, said two officials, who spoke on the condition of anonymity because negotiations are ongoing.
The goal of short sales would be twofold: provide a quicker and more economical way for banks to dispose of distressed real estate and to help stabilize the real estate market by clearing out a backlog of defaulted mortgages that are poised for foreclosure.  Read more…

April 8, 2011 Posted by | Foreclosures, Short Sales | , , , , , , , | Leave a comment

DO BANKS PREFER FORECLOSURES?

Do banks prefer foreclosures? No, a short sale is more beneficial to the bank and to the homeowner.


Do you know someone who is struggling financially and falling behind on their mortgage?
They probably qualify for a short sale.
In a short sale the bank usually pays all closing costs which include realtor commission, attorney fee & property taxes.
Pass along my email to someone who might need help:

Behind on payments? Want to sell your home?
If you are interested in a SHORT SALE, contact me for more information.
Sell with dignity, preserve your creditworthiness and start rebuilding your life.
I have helped many homeowners avoid foreclosure.
For more information and a FREE REPORT ON SHORT SALES please call


Barbara Pedersen
Realtor®, Short Sale Specialist
(708) 539-9900

or email: b.pedersen@comcast.net

April 7, 2011 Posted by | Buying, Foreclosures, Homes for Sale, Selling, Short Sales | , , , , , , , | Leave a comment

* SHADOW INVENTORY STATE BY STATE

Month’s Shadow Inventory: State by State

by The KCM Crew on March 29, 2011 · 1 comment

Last week, we reported on the National Association of Realtors’ (NAR) Economists’ Outlook and gave you a map showing the percentage of overall sales that distressed properties represented in each state. Today we want to show you another map from the same NAR outlook. This one shows the number of months shadow inventory by state:
Read more

March 29, 2011 Posted by | Buying, Foreclosures, Selling, Short Sales | , , , , , , | Leave a comment

* SPACIOUS SINGLE FAMILY IN BERWYN, IL

Short Sale in Berwyn, Il
Short Sale agent presents:
6525 W. 34th St., Berwyn, Il

Spacious, solid, 3 bedroom stucco bungalow in Berwyn.
The house is well insulated and partly remodeled. It features large kitchen and a beautiful big dining room connected to huge living room. Gleaming hardwood floors in all rooms. Fireplace. Basement. Located in a very nice area of North Berwyn.
Short Sale! Excellent value!

For info please call:
Barbara Pedersen
708-539-9900
b.pedersen@comcast.net

February 19, 2011 Posted by | Buying, Selling, Short Sales | , , , , | Leave a comment

* DIFFERENCE BETWEEN A SHORT SALE AND A FORECLOSURE

What is the difference between a short sale and a foreclosure?

 

It seems my price range and must haves is producing a lot of short sales and foreclosures to see. What is the difference?
Active Rain, by Martha Brown, Long and Foster Real Estate,
410-440-7839 (cell) 800-735-5122 (ofc) martha@homesaroundannapolis.com


A Short Sale is a home where the owners owe more on the property than todays market will give them. They may need to sell and so they put it on the market at todays market value and then when they receive an offer they send it to their bank in hopes of the bank accepting at a price that is ‘short’ of the current mortgage amount. The process can be a long one and certainly  requires a listing agent who is familiar with working short sales, a buyer who has patience as a bank decides if this is a workable solution for them and sellers who will protect the property while the process takes place.

A foreclosure is a home where the owners no longer own the property and the bank has foreclosed on and are now the owners. Depending on the owners and the bank the condition can be anywhere from OK to deplorable.
Read more…

February 10, 2011 Posted by | Buying, Foreclosures, Selling, Short Sales | , , , , , | Leave a comment

* THE ROLE OF A SHORT SALE SPECIALIST

The role of a short-sale specialist

Communication — and lots of it — is key

By Alisha Alway Braatz, Wednesday, February 9, 2011.Inman News™

Despite the fervent prayers of bankers all across this nation, short sales and foreclosures are not disappearing anytime soon. They are simply two additional types of home sales that must be mastered by Realtors.

And earning a specific distressed-home accreditation does not assure swift business or success with clientele. This segment of our trade requires Realtors to approach each situation with the utmost of respect, care and diligence — no half-hearted attempts here!

Distressed sales are stressful, and tempers can kindle quickly when expectations are not met. So what does a successful agent/seller relationship look like? I casually interviewed a couple in foreclosure and the agent representing their home.
Read more…

IF YOU DO NOT QUALIFY FOR, WERE DENIED
OR DO NOT WISH TO RECEIVE A LOAN MODIFICATION

IF YOU CAN AVOID FORECLOSURE (which stays on your credit report for 7 years)
BY SELLING YOUR PROPERTY
OR IF SELLING YOUR HOUSE IS A BETTER FINANCIAL DECISION
SHORT SALE might be THE SOLUTION

Contact me for more information on SHORT SALES
Sell with dignity, preserve your creditworthiness and start rebuilding your life.

I have helped many homeowners avoid foreclosure.

For more information and a FREE REPORT ON SHORT SALES please call

Barbara Pedersen
Realtor®, Short Sale Specialist
(708) 539-9900

or email:
b.pedersen@comcast.net

February 9, 2011 Posted by | Short Sales | , , , , | Leave a comment

* WHEN SHOULD I START THE SHORT SALE PROCESS?

February 9, 2011 Posted by | Short Sales | , , , | Leave a comment

* THE MORTGAGE FORGIVENESS DEBT RELIEF ACT

If I do the short sale, do I have to pay taxes on the amount that was forgiven
(so called deficiency)?

The answer is basically NO, if you are selling your primary residence.

Please read more on the IRS website:

The Mortgage Forgiveness Debt Relief Act and Debt Cancellation

If you owe a debt to someone else and they cancel or forgive that debt, the canceled amount may be taxable.The Mortgage Debt Relief Act of 2007 generally allows taxpayers to exclude income from the discharge of debt on their principal residence. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualifies for the relief.

This provision applies to debt forgiven in calendar years 2007 through 2012. Up to $2 million of forgiven debt is eligible for this exclusion ($1 million if married filing separately). The exclusion does not apply if the discharge is due to services performed for the lender or any other reason not directly related to a decline in the home’s value or the taxpayer’s financial condition. Read more

This is not legal advice, please contact your attorney.

CONTACT ME FOR MORE INFORMATION ON SHORT SALES
Sell with dignity, preserve your creditworthiness and start rebuilding your life.
I have helped many homeowners avoid foreclosure.

For more information and a FREE REPORT ON SHORT SALES please call


Barbara Pedersen

Realtor®, Short Sale Specialist
(708) 539-9900

or email:
b.pedersen@comcast.net

February 9, 2011 Posted by | Foreclosures, Selling, Short Sales | , , , , , , | Leave a comment

* FORECLOSUREGATE: EVERYBODY WORKS THEIR PLAN

Foreclosuregate: everybody works their plan byJennie Blackburn, www.StopFloridaForeclosureNow.com, December 02, 2010

Can’t understand why an institution does something that makes no sense?
Find out how they get paid and you’ll get your answer. Because…

Everybody Works Their Pay Plan.

When a borrower becomes delinquent, the loan servicing company gets to charge the investor a higher fee. So the servicer has ZERO incentive to cooperate in a short sale and every incentive to drag things out for as long as possible. This is why short sales take so long. I’m a Realtor in the Tampa Bay area of Florida, where 44% of properties sold in 2010 are either short sales (house is sold ‘short’ of covering the mortgage) or foreclosures. Over the past three years, I sat at many kitchen tables with bewildered homeowners who are the victims of manufactured default.
Everybody Works Their Pay Plan.
Read more

December 29, 2010 Posted by | Foreclosures, Short Sales | , , , , | Leave a comment

%d bloggers like this: