Several days ago I was searching the MLS listings for homes for a buyer and ran across an address that sounded familiar. I thought it sounded like the address of someone I had met, a relative of a musician my husband played with. Indeed, it was her home. I had spoken with her because she said she wanted to sell her house. She ultimately decided to market it as a For Sale By Owner (FSBO) because she felt she couldn’t afford the Realtor fees for selling.
I understood that consideration, although I didn’t agree with her reasoning, and honored her choice. I provided her with the basic information she would need to be successful in her efforts. I stayed lightly in touch with her, letting her know that I would be happy to serve if she tired of the effort.
The unfortunate outcome of her strategy is obvious. She lost her home to foreclosure. If she had been working with me when her mortgage went in to default, I would have advised a short sale.
The principle of a short sale is simple (not easy, just simple); the homeowner negotiates with their lender to accept less than owed to declare the loan paid in full. The pitfalls are many and the process is not short. A realtor will consult with you , list the home & negotiate with the lender for a commission on the sale; no fees up front. A short sale is not always a perfect solution, but it does serve the purpose of keeping a foreclosure off the borrower’s credit report. See http://money.cnn.com
If you are in default on your mortgage use the resources at HUD now to avoid foreclosure. http://www.hud.gov/foreclosure/
Lil Lively
Broker Associate - Your Castle Real Estate
Cell: 303-746-8827 Fax:303-265-9318
http://www.LilLively.com
Lil@TopProducer.com
LilLively@Gmail.com
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment