In a previous blog, I said YOU are an asset in a short sale. When you are a pro-active homeowner working with the bank to make the best of an all-around bad situation, you are a responsible owner. You are not walking away from your property, throwing your hands in the air, whining, “What can I do?” or “That’s too hard!” You are doing your part to find a qualified buyer and take care of the home until an agreement is reached.
A buyer and a safe, secure, marketable property are huge assets in the eyes of the bank. You cannot do a short sale until you find a buyer, and even banks know the value of qualified buyers in the current marketplace. The fact that you are safeguarding the property shows responsibility and partnership on your part.
From the bank’s point of view, foreclosures are a complicated, expensive legal process fraught with liability. It takes lenders time — months and months — to turn a foreclosure into a viable, listed property. Meanwhile, many of these bank-owned, foreclosed properties are sitting empty having appliances, bath fixtures, lighting and copper wiring, and parts of the landscape vandalized.
A short sale brings in more money for the bank with less cost and risk. Short sales sustain values in the entire neighborhood and on the bank’s balance sheets as compared to foreclosures which show up as losses. Foreclosures drive future prices down which puts other loans in jeopardy for the bank. As future prices fall, the banks continue to be at risk as more people decide the “business-like” decision is to simply walk away from their property. Owners who chose foreclosure through lack of action reap no benefit or reward in the long term.
The very worst action you can take is to dither and do nothing. When YOU look the dragon in the eye and make the decision to do a short sale, you are taking your future back into your hands. That is the position of a winner – not a whiner — and it will pay off for you in your credit history over the long run.
The second worst thing you can do is have just any, old real estate agent handle your transaction. This is a time to hire an experienced, short sale savvy real estate agent with a proven record of multiple, successful, short sales signed, sealed and closed.
Find one and get busy reclaiming your future!
Great information. The best two tools a buyer or seller can have is:
1) The knowledge….or a place to get it
2) An informed pro-active real estate agent.
Good job Suzanne!
Frank
This gal knows what she is talking about. Every statement in her blog is true. Thanks for the great advice!
Great work on your part Suzanne. Your highly professional handling of the short sale on my house saved a foreclosure from occurring.
Valuable information, Suzanne. I have forwarded your blog to both a friend who is recently unemployed and another friend new in real estate. I’m sure each will find it of interest and assistance. Thank you for taking the time to share your knowledge and experience with so many who will benefit.