Tuesday, July 10, 2012

Short Sales: A real experience

I have had the pleasure and the challenge of working on many short sales in this past year. My actual first experience was as an owner of a home coming off of a divorce. This latter experience was simply a tremendous learning experience for me as both a seller and then as an agent who can understand what a seller in a short position is going through and how to manage your finances and such so as to protect yourself from some interesting fine print on your checking accounts, your credit card agreements, etc.

Getting back to Short Sales, I have been fortunate to have one deal close in as few as 35 days, yes, a short bit more than a month. At the same time, I am writing this blog article some 9 months--YES, I DID SAY 9 MONTHS--after receiving an accepted offer on a property in Maplewood.

Why 9 months? well, with the Olympics approaching, we know that the sport of Diving for example, is scored with "the degree of difficulty" of a dive factored in. When it comes to short sales, there are loans that are owned by 3rd party hedge funds, like Kondaur capital, that can make the process a very easy one for navigating through the approval process for a short sale. Conversely, having 2 loans with 2 different banks can make for a very turbulent and extraordinarily challenging approval process as sometimes each loan is a moving target. Such was the case with today's closing. First, we were under the impression that our first lien (loan) holder would be made whole. Unfortunately, while i was successful at getting an accepted offer in 18 days for this property, i would come to find that there was a problem with the buyer's being able to get their mortgage due to an earlier than expected birth. Then, for some inexplicable reason, the buyer's attorney failed to run an "judgment search" as a precautionary step that is highly recommended. This allows both sides to know if there are any hidden obstacles (IMPORTANT TO REMEMBER THIS IF YOU ARE BUYING A SHORT SALE, which in this case there were as my Seller's were under the impression that 2 credit issues would become deficiency judgments that were attached to the home, preventing sale until they could be "paid."

So, after getting the 2nd loan approved, I had to then restart the entire process in order to deal with the new terms that resulted from the short on the first loan.

All in all, this file took 9 months, a total of 213 emails, 89 messages on Equator (an online tracking and short sale management tool required by most of the major banks) and an untold number of phone calls and texts to get us to the closing table today.

So, when you are looking to buy a short sale, please keep in mind that the "average" short sale still takes 3.5 to 4.5 months to close. This means that there will be some that are fortunate to take a month or so and others that take 9 months to a year to close.
Mark Slade Keller Williams 917.797.5059 good homes
Selling a Maplewood/South Orange/ Millburn/Short Hills area home involves many steps and having an experienced Maplewood New Jersey Real Estate Agent and Realtor®, specializing in the Bedroom Communities of New York City in Essex/Union County— Millburn, Short Hills, Montclair, West Orange, South Orange, Livingston, Maplewood, Springfield, Summit, Madison, Chatham, Scotch Plains, Fanwood, Cranford and Westfield--by your side will make the transaction run a lot smoother. I would love to be your Maplewood/South Orange New Jersey Area Real Estate Professional! I assist both buyers and sellers in the Bedroom Communities of New York City, mostly served by NJ Transit’s Mid-Town Direct Train Lines, offering commutes of 45minute or less to NY Penn Station, with either the purchase and or sale of residential real estate.

As an Accredited Buyer’s Agent (pending), I have received special training to guide and educate you through the entire home buying process. From start to finish, I listen to your needs and desires in what you would like and take the information you give me to find you home. My GO-TO team can provide you the best in Real Estate advice with regard to attorney choices, Home Inspectors and Mortgage Loan Officers

As your Maplewood/South Orange/Millburn/Short Hills/Essex/Union County New Jersey listing agent I am well versed on as your local expert in all things in the Maplewood and South Orange area Real Estate Market. You can expect personalized service that includes a detailed consultation on how to best position your Mid-Town Direct home to be competitive in today’s market with training to provide my clients with an in-depth Advanced Comparative Market analysis, and advice on staging. As my office’s technology officer as well as both a Zillow Platinum Premier and Trulia Premier agent, I use the latest and most up-to-date marketing methods to get your home in front of as many buyers as possible. Being your New Jersey Real Estate Agent and Realtor ® not only involves just finding the home or selling the home, but being your guide, negotiator, advisor and advocate and making sure that your needs and goals are met. Being your New Jersey Essex/Union County area Realtor® (with a little bit of Morris Cty thrown in for good measure) is one of my truest passions, and “Helping You Find Your Dream Home” is my number one priority.

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