Sacramento Expert Short Sale Real Estate Agent

Posts Tagged ‘short sale’

 Use a Real Estate Professional

 
The purchase of a home is one of the most complex, high-risk, and expensive
transactions most people will ever go through, yet approximately 40 to 50 percent of
home buyers go to the closing table without a representative or advocate on their side.
This startling research performed in separate studies by the National Association of
REALTORS® and the National Association of Exclusive Buyer’s Agents, shows that
many buyers do not understand the importance of having an advocate. Without
someone representing their interests, how will these buyers ever know if they found the
right home at the right price?
Why should you hire a REALTOR®? Here are ten good reasons why you as a buyer
need the services of a real estate professional:

 
1. Realtors Are Real Estate Specialists.
Only a member of the National Association of REALTORS® can be called a
REALTOR®. The association provides advanced educational opportunities to its
members, enabling them to offer accredited sub-specialties such as buyer’s
representation (ABR), residential real estate expertise (CRS), or Internet readiness (e-
PRO) to the public. Many excellent REALTORS® do not have extra certifications and
designations, but if you should notice letters next to an agent’s name, be sure to inquire
about its meaning. For their own reasons, many real estate professionals choose not to
join the professional association. If you choose to work with an agent who is not a
REALTOR®, ask about the agent’s experience and specialties.

 
2. REALTORS® Lower Your Risk.
When you have a REALTOR® as an advocate, you share some of the risk of home
buying. Otherwise, it’s buyer beware. You are paying the agent to assist you, advise you,
and help you navigate the transaction legally and safely. Your agent will make sure you
take appropriate steps to protect yourself. Incredibly, many states do not have laws or
regulatory bodies in place that protect all aspects of home buying. Only 20 states
currently license or certify home inspectors, for example. Further, these and other
professionals are only liable in civil suits for the amount of their fees, not for any costs
incurred by the buyer for problems or repairs that were undetected before the closing. If
your agent suggests that you get a structural inspection, do so for your own protection.
She or he will know how an inspection should be performed and will attend the
inspection alongside you.

 
3. REALTORS® Work For You At Their Own Risk.
It is hard to name any other profession whose members work on a contingency basis.
Even attorneys charge by the hour except for some high-risk lawsuits. You don’t typically
pay for any services up front with an agent. That means your agent incurs the costs of
doing business on your behalf until you find and close your home. Therefore, it’s in your
agent’s best interest to work quickly, diligently, and use all his or her resources to help
you meet your goals. Some agents will ask you to sign a buyer’s representation
agreement, which allows him or her to represent your interests. Be sure to ask what the
advantages are, and what your release options are. Interview several agents before
making your choice and compare their representation styles. Make sure you understand
how the agent you choose will work with you, according to the laws and regulations of
your state.

 
4. Realtors Understand The Current Market.
Real estate professionals have house-by-house, street-by-street, and market-by-market
knowledge. Their experience is invaluable and can’t be learned overnight. REALTORS®
who have weathered the pendulum swing between buyers’ markets and sellers’ markets
know that the real estate market can turn abruptly. Rising and falling interest rates affect
the number of available homes for sale and their prices within weeks or days. All it takes
is the entrance or exit of a major employer, and thousands of homes in a neighborhood
can be affected. As neighborhood experts, experienced brokers and agents can help
you with home buying strategies and proposals that will get the price and terms you
want.

 
5. REALTORS® Have Inventory.
Do you want to find a home quickly? With a REALTOR® by your side, you will.
According to The National Association of Realtors, over four-fifths of existing homes in
the United States are represented by real estate brokers. So are 70 percent of new
homebuilders and their products, according to NewHomeNetwork.com. REALTORS®
cooperate with each other through an organization called the Multiple Listing Service
(MLS). The MLS has the current broker-represented properties for sale in its database.
Your agent can also show you homes outside of the MLS inventory, including for-saleby-
owner homes, new builder homes, and institution-operated homes. However, no
Realtor can be expected to show you this additional inventory without a representation
agreement and an assurance of being paid at closing.

 
6. REALTORS® Have Up-to-the-Minute Information.
MLS data entry can take from one to 10 days, depending on the listing agent, his or her
broker, and the MLS. By the time the home is posted on the Internet, it could already be
sold. Clever agents don’t wait that long to find a home for their buyers; they network with
each other. Your agent will tell other agents about you and your wish list in exchange for
information about upcoming homes for sale. That’s how many homes are bought and
sold in a hot seller’s market, without a sign ever going into the yard. If you want to be the
buyer positioned to make first and best offers on these homes, hire an agent.

 
7. REALTORS® Understand The Complexity Of The Transaction.
Less than a decade ago, a home could be bought with a two-page contract. Now
consumer-mandated seller’s disclosures, environmental and structural reports, and other
liabilities have turned the home transfer into a complicated minefield. REALTORS® work
with contracts daily, and can fully understand which points are harmful and beneficial to
you. From helping you make a reasonable offer, to providing for the discovery and
disclosure of material facts, your agent can also interpret information for you. If you
found out the neighbor next door to the house you are buying just built a new fence,
what does that mean? You won’t have to replace the fence on that side for a long time.
To your agent, it means something else. She or he will quickly get a survey ordered, to
assure that the new fence doesn’t encroach on your new property.

 
8. REALTORS® Work For You…And The Transaction.
Your agent not only represents your interests but also works on behalf of the transaction.
Does that seem like a conflict of interest? It isn’t. Buyers and sellers are natural
adversaries. You want to buy for the least price, and the seller wants the best price.
Agents must be skilled negotiators to keep bargaining chips from turning into dealbreakers.
As the buyer, remember that you are the one in control. You can instruct your
agent how far to go in negotiations on your behalf. One day, you’ll be glad your agent
talked you out of walking away because the seller wouldn’t leave the chandelier.

 
9. REALTORS® Are Homeowner Advocates.
Do you like the idea of deducting your mortgage interest from your income tax? Paying
no capital gains when you sell your home up to $250,000 if you are single and $500,000
if you are married? If so, you can thank the only lobbying group in the nation that looks
out for the interests of homeowners - The National Association of REALTORS®. Every
year, the REALTOR® PAC perches on Capitol Hill and swoops down on legislators who
try to overturn these generous government-sponsored homeowner benefits. The result is
well worth it. These initiatives keep housing more affordable, enabling more buyers than
ever before to move into a home of their own. Thanks in part to REALTORS®, more
than 67 percent of the population are enjoying the benefits of owning a home.
One of the greatest endorsements you have for using the services of a Realtor is from
your lender. Lenders are willing to finance agent commissions for buyers in the
mortgage loan. That should tell you how important it is that you get proper
representation. Many lenders agree you may get a better price for your home and better
terms by having an advocate. Put a Realtor to work for you today.

www.twre.info

twre.info@gmail.com
your dreams

Well another happy seller and buyer on this one.  Buyers happy to get their new home right before the holidays. I wanted  to mention that when working short sales on the buyer or seller side how important it is to know what you are doing.  This situation could of been a problem from the beginning as there were tenants on in the property. 

 Making sure the tenants were going to be prior to closing the deal is very important to a buyer, as they will then become the landlord to these tenants after recording the sale. This could be a deal breaker to the buyers especially if they wanted to occupy the property. The lien holder on a short sale does not care about tenants on the property, they only care about closing the deal according to their acceptance of the short sale. 

I have heard from so many people that Realtors here in Sacramento do not, or are not willing to show a short sale or even list one.  Their loss was my gain on this one.  Realtors better change with the times or their business will not get any better for them.

So when your trying to sell or buy a short sale with tenants on the property make sure that the seller has given proper notice to the tenants to vacate the property, or worked out a settlement prior to closing in writing and have a back up plan in place.

Make sure the buyers are in complete understanding of what could happen in a worse case scenario which affects their ability to buy or delay moving into their new home.

In this case everything worked out great for both sides, although there were some rough area’s of concerns.  It did come down to a legal document being drawn up to get the tenants out prior to closing.  The tenants moved out 2 days prior to closing. Too close for comfort. Every Realtor needs to protect their clients best interest. Know all the facts and present this information upfront.

Terri Wisecarver

Sacramento Real Estate

twre.info@gmail.com

www.twre.info

After being asked about FHA refinancing from numerous friends,  I decided to do some research on my own.   Here is some great information that I can bet many people do not know.

Everyone at this time is under the impression that you need equity in your home to refinance into another lower interest rate loan.  Yes this is true for the most part, except for FHA Loans.  Homeowners with existing FHA financing on their current home are able to refinance their current mortgage without having equity.  This is a different program called FHA Streamlined Refinancing.

 The new loan would not require to have the home appraised.  This is great news. A normal refinance without FHA, would require a new appraisal and would show the true value of the property which would not entitle them to refinance.

 Of course there are a couple draw backs to this situation, but if the rate will save you a considerable monthly amount, then I advise you to check it out at the link above for more information.

• To refinance a current FHA Mortgage into another one, the homeowner can not take out more of a loan than what is currently owed on the property.
• The homeowner also may not refinance the current loan if they have been delinquent in any mortgage payments in the last year.

 Terri Wisecarver

Sacramento Real Estate

Being upside down seems to be the case with most sellers in Sacramento these days.  Short Sales, Short Sales, Short Sales….. This home was listed as a Short Sale because of course the seller was in a financial situation that forced the sale of the property.  I was lucky in a sense that I was only dealing with one lien holder on the property.  This makes it so much easier to negotiate the sale.  Actually there were two liens that I worked with, but one was for the new window’s that were put in a couple years ago.  Of course Smud financed these windows which enabled them to become a lien against the property. This lien would have to be paid off by the first lien holder on the property no matter if the house went to foreclosure, or was sold as a short sale.  The seller seems happy to avoid the word FORECLOSURE on a credit report, but sad that their once purchased dream home is gone.

Now a home that was once a dream for one person became a loss, but turned around and became a dream again for another first time home buyer. Now this home will get all the new touches the new buyer has to give to make their new home their own.  Of course this buyer is also happy to get get the Tax Credit that is almost ready to expire. As it seems buying  Short Sales is becoming more  popular in Sacramento as REO’s ( foreclosures, real estate owned, bank owned).

Terri Wisecarver

REALTOR®

Prudential California Realty

916-201-4007

Sacramento Real Estate

DRE# 01429634