Tag Archive | short sales

The difference between short sales, foreclosures, and resale homes for sale

ImageAre you wondering what is the difference between  Foreclosures, Short Sales  & Resale Homes For Sale?

Foreclosures- Take on a variety of types also termed Bank properties or REO real estate owned, this means a borrower has failed to make payments and the mortgage company has taken the property back.  In some states a borrower has the right to redeem their property before it is sold to a new buyer (such as in VA) and some states allow a borrower to come back after a foreclosure sale to redeem their property.   Depending what state you are in find out the rules………… Bank Properties/Foreclosures can be sold in a variety of ways from on the court house steps, through auctions, through online bidding, or thru brokers in the MLS (multiple listing service).  Usually in most cases the property is to be sold as is with no disclosures.

ImageShort Sales- A current owner needs to sale there home but owes more on their current loan balance then the property is worth. They negotiate a deal with bank to sell the home for less than they owe.  The difference between the current loan balance and the new excepted price is called a deficient amount.  The bank can agree to wave the deficient amount or depending on a owners assets the bank can ask for a deficiency judgment.  This is usually a negotiated amount between Owner and Bank for lower than deficient amount.  For buyers this can give you a chance to buy a home you normally could not afford.  But becareful of teaser sales prices-often agents price short sales low to attract an offer.  A Bank usually wants a fair percentage based off current market value.  If you need closing cost assistance this may end up being a hurdle because there is NO equity in the home so if the bank says No and seller can’t pay it- your deal will be in the toilet…………

ImageResale homes means a current real person seller exist.  This seller can occupy the home or not occupy the home.  It can be an investor or Flipper or a regular owner.

Be careful of flipped homes – just because it is remodeled does not mean it has been done correctly.  Resale homes giv the buyer a chance to negotiate the small stuff, closing cost, repairs, home inspections, closing periods, Home Owners association or condo paperwork, or posession agreements.  These little things often call contingencies and are usually not allowed in the negotiations for foreclosures and can be limited in short sale transactions.

Your loan type can dictate which properties you can choose from.  Certain loans must meet minimum property standards for the lender to give the money.  If you do not know which route you should look at give me a call and I can help guide you thru the process.

THE HAMPTON ROADS REAL ESTATE LADY!

Call me to buy a home in any Hampton Roads area: Norfolk, Virginia Beach, Chesapeake, Portsmouth, Suffolk, Newport News, Hampton, Williamsburg, and now serving York County and the Peninsula.

“I can dream alone, build alone and strive alone, but true       

success always requires the help and support of others.

Please send me your referrals.”

Visit my website today,

The Hampton Roads Real Estate Lady!

Deandrea “Dee Dee” Jones

Associate Broker / Recruiting Sales Manager Peninsula

Blu Skyy Realty   Virginia Beach, VA

http://DJonesRealEstate.com

djoneshomes@gmail.com

I am always looking to recruit fabulous fulltime agents Now recruiting for: Peninsula Hampton to Williamsburg areas, we give you high quality leads!!!!  If you are ready to make this your best year ever-  Contact me for more info.

Norfolk Military ERB Sailors scramble to figure out what to do with their homes

In the last few weeks since Christmas I must of had a dozen calls from Hampton Roads Navy Va loanspersonnel who received pink slips and are now scrambling to figure out what to do with their homes.  Many Norfolk Sailors who were let go as a part of the Navy’s enlisted retention boards layoffs are now trying to figure out what is next for them.  If you have not heard Navy.mil reported that “a total of 2,947 sailors were given pink slips by the Navy late last year as part of an effort to reduce personnel in 31 overmanned ratings.”

Sources told the Navy Times that only a fraction of those sailors — roughly “300 to 350” will actually qualify to retire through the 15-year option.  So if only roughly 300 sailors who were cut through the fleet’s enlisted retention boards will receive the new, early 15-year retirement option recently approved by Congress. What happenes to the other 2600 if they can not find new employment?

These are a few of the questions I have had

1. How do I sell a home that is worth less than my mortgage balance?

2. How do they pay their mortgage or even rent a home with no employment?

3. How can they find out if they will qualify for a short sale?

4. If they took the Tax credit and it hasn’t been three years do they have to pay it back or pay taxes on it?

 

This is just a few questions ERB Sailors will be asking me and others as their official departure day draws closer.

IVeteran Military Va loans spoke to one sailor who said “When reenlisted in the Navy I thought my contract would be honored for the 4 years I re-listed for and I planned my life and bills accordingly.  I never thought I would be forced out and amongst the unemployed.”

I spoke to another sailor that says ” My only hope for employment is to leave the area I must consider selling my current home even if it means as a short sale.”

Most bought their home with a VA loan but each lender and loan type has its own guidelines for short sales so it is not a 1 + 1= 2 situation

If you are a ERB sailor needing to sell your current home give me a call and lets discuss your options.

 

THE HAMPTON ROADS REAL ESTATE LADY!

Call me to buy a home in any Hampton Roads area: Norfolk, Virginia Beach, Chesapeake, Portsmouth, Suffolk, Newport News, Hampton, Williamsburg, and now serving York County and the Peninsula.

“I can dream alone, build alone and strive alone, but true        The Hampton Roads Real Estate Lady!

success always requires the help and support of others.

Please send me your referrals.”

 

Visit my website today,

The Hampton Roads Real Estate Lady!

Deandrea “Dee Dee” Jones

Associate Broker / Recruiting Sales Manager Peninsula

Blu Skyy Realty   Virginia Beach, VA

http://DJonesRealEstate.com

djoneshomes@gmail.com