Archives for September 2011

Short Sales for FHA loans

We just closed another short sale last week where the existing loan was an FHA loan.  HUD (who runs FHA loans) has a very specific set of rules with regards to short sales.  Here is a list of some of the pros and cons when dealing with a HUD short sale.

The Good:

HUD has a predetermined price that they will accept when doing  a short sale.  This price is based on an appraisal that can be completed well before an offer is placed on the listing.  They will tell and agent upfront what they are willing to accept.

No games, no gimmicks, no guessing.

They will take 88% in the first 30 days, 86% in the next 30 days, and 84% after that.  Note that this is the NET price that HUD will take.

They will also pay up to $1000 to the seller for relocation expenses.

The Bad: [Read more…]

Doing Work That Matters

I met with another homeowner this week who had a failed attempt at a loan modification. His home goes to sale at the courthouse in about 90 days.  He’s come to realize that a short sale is a better alternative to a foreclosure but he is frustrated with the process that has brought him to this point.

Navigating Without A Compass

I hear the most amazing stories when helping homeowners with a short sale on their home.

Hours on the phone, lost paper work, rude phone calls.

It’s no wonder why people are so upset with their lender that they are willing to walk away despite the increased damage it will do to their financial future.

In this particular case a real estate agent brought me on board to handle the short sale while he marketed the property for the seller.  The seller had been told that he was getting a modification on both of his loans.  Not true. [Read more…]

How Much is YOUR Time Worth?

I am constantly reminded of how much time can be saved when you have experience. Charting a course into unknown territory can be a HUGE time killer. My recent endeavor with U.S.Bank was no exception.

To Each His Own

After 8 transfers, 8 new phone numbers, 6 different representatives I was finally able to confirm that U.S. Bank marches to their own tune when it comes to HAFA short sales.  Unlike Wells Fargo or Bank of America, they actually want the homeowner to go through an entire loan modification process before they can opt-in to a HAFA short sale. [Read more…]