Jimmy’s Wife asked:


My friend Ellen currently owns a home in Yorba Linda, CA (backyard is the Nixon presidential library). In 2005-06, she purchased the home for about 850K (minimal down payment, interest only….). Due to difficult economic climate and unemployment, she is now considering the sale of her home. However, the neighborhood alreay has 5 foreclosures, all within the same community and of similar floor plan. They are listed at the prices of about 580K.

Ellen just listed the home with a realtor, at the price of 575K…

Would the bank even agree to such a staggering short sale?
What is in it for the bank?
Will Ellen have to make up the huge difference?
Will it affect her credit and future purchase of homes?
Will the bank lay claim to her other assets in order to recover the loss?

My husband and I are very worried for her and don’t know what we can do to help her.

Laurence

jasonex asked:


If somone is selling their house because they just don’t like it anymore but in this market it is worth less than what is owed to the bank, is that considered a short sale? I keep reading about being behind on payments and going for a short sale instead of foreclosure. This is not what i am talking about. If a house sells for less than is owed on the mortgage, but there are no financial issues, the owner just wants a bigger house or something, can’t the bank just give them a payment book for the balance owed?

Moses

Doncesar asked:


The market in my area shows that there are similar houses selling for 100k less than what I bought 1.5 years ago. Can I just give it back to the bank? short sale? what are my options…I cannot really carry a 100k loss on the sell. What are your suggestions?

Josie

Mark M asked:


If I make prior arrangements to pay any shortfall on the sale of my existing house with the bank, can I avoid having it affect my credit? I am considering a move from an overheated market where I am upside down on my mortgage to a stabilized, cheaper market where I’ll be able to afford a cheaper mortgage plus make regular payments to settle any shortfall. I’ve heard that banks won’t consider a short sale until you’re behind on payments. Would they consider it if I’m a good credit risk with solid income and room to pay off the difference? I am assuming that if I can scrounge the $ beforehand, I’m best off to offer a seller 2nd to a buyer to make the bank whole, right? I need to move for a job, and the market where I live is DEAD.
Casey, don’t misunderstand–I love my bank. I’ve bought 3 houses with them. That’s the whole point. I need to move and I can’t make enough to pay off the mortgage in the sale. All I want to know is if I can work out an arrangement that will satisfy them and not nuke my otherwise great credit!

Felicitas

elmho01 asked:


Hi,
I’m a buyer in short sale home, last update from the bank was : “BPO has been ordered”. Is that a good sign , also how long it takes to move forward, since I almost waited 2 months already.
Thanks

Reinaldo

LISA W asked:


I have been putting in full price offers, waiting a month for bank and getting rejected. What are banks willing to lose on house? Why do agents list for price that bank will not accept?
Current offer at 300k sellers bought in 05 for 480K. I am thinking 300-325 is actually fair market value. Offered on 4/03 and havent heard yet. I **** these short sales, but it is all I c an find on the market in my range.

Virgil

mickey16_60160 asked:


I made an offer on a house that is a short sale on last Thursday. It was priced for 175000 and we offered 170000. I still am waiting to see if they accepted my offer. I am willing to give the full price if that will speed the process up. My realtor said it is a good offer and it is being reviewed. I do not want to keep bugging my realtor and asking if she has heard anything from the bank. I want to know why is it that the bank takes long to see if they accept your offer. Is their a procedure with short sale homes? This would be my first home and I really like it. Tire of paying rent. Property is in Illinois if that makes any difference.
I just called the record of deeds and they said it is actully in forclosure. Soes that make a difference?

Kanesha

LittleBirdyâ„¢ is The King asked:


either in cash or a mortgage. But What if the bank doesn’t approve the shortsale… What happeneds to my loan? Also… is there a difference between a short sale purchase and a regular purchase. What are the differences when it comes to the buyer?

Felipe

help_please asked:


What should I do (since no mortgage bank is involved) to protect me if I make a cash offer to a short sale? What about the title insurance, and many other stuffs?

Your advice is greatly appreciated.
Caveat: I am going a buyer to this short sale property. Cash offer means no financing. I will be using my saving and HELOC.

Eulah

Debbie V asked:


before the bank foreclose on the house.

Keith