Short Sales - Banks need to streamline the process from a REALTOR’s view
November 6th, 2008 | Posted in Hampton Roads Housing | No Comments »
Have you tried to purchase a home that was disclosed as a short sale? The laws vary by state, but I think we all can agree that something needs to change. The process is extremely cumbersome and time consuming for the listing agent, and they better document who they talked to etc. If the buyer has time on their hands and is patient, the buyer may find a really good deal. However, most buyers do not have the time that is required as it can take 60 days or longer from the inital offer to close on the property. Do not expect an immediate response from the lender. Hopefully, the bank’s loss litgation department and foreclosure department talk to one another as there could be miscommunication and the home could end up in foreclosure with a deal on the table as this happened to a colleague of mine. With all the issues in the short sale process, it causes buyer’s agents to discuss these listings with their clients and talk about the pitfalls. As a result, a large percentage of agents will avoid these homes from being shown, which in turn cost the lender more money because of less competition. If the lender is forecloses on the home, the mortage lender incurrs additional holding expenses including taxes, property maintenance, vandalism, etc. Would the lender not be better off then, if they did not incur these additional expenses? Personally, as a REALTOR, I would rather write an offer on a home that the bank has already foreclosed on and is marketing as it is a much smoother transaction.
VA Beach Home Market - November 2008
November 6th, 2008 | Posted in Virginia Beach Homes | No Comments »
Homes sales in VA Beach are still happening. However, the time on the market is close to 6 months or more. As of today, there are 3781 homes listed in the MLS for VA beach which includes attached homes and single family homes. ( This number does not include lots, land, or timeshares.) Currently, 522 listings are pending that are not included in the number above.
There are some great buys that I have recently seen in the general area that are bank owned properties, and these are the homes that are moving faster as price always sell the home if you get to the right price in which a buyer thinks it is worth and is willing to pay for it. It does not matter what the home appraises for, if no one is willing to pay the price. Seller’s in this market need to be ready to negotiate as it the market is no longer the field of dreams. If you are looking to buy, now is a great time to buy as seller’s are making more concessions, prices have come down, and interest rates are still relatively low. When the economy turns around interest rates will go up and you will not be able to afford as much of a home even if prices remain stable. Just remember to evaluate your situation and remember to think about location, how long you plan to be in the area, the tax benefits, and what your comfort range is in your mortgage payment no matter what the lender or mortgage broker tells you that you are qualified for. Ask the lender for a good faith estimate, so you have a good idea of what the lender is charging, what your other costs will be, and what you will need to bring to closing. If you are considering buying or selling a home, call me and receive award winning experience representing your interests.