Short Sale / Foreclosure 
When a homeowner cannot make payments, the bank/lender will issue a Notice of Default (NOD) to initiate the Foreclosure process. The bank may approve a Short Sale of the property, indicating that they will accept a purchase contract for less than the seller owes on the loan. If the property is not sold before the Foreclosure process is complete, the property will most likely be sold at auction or become an REO.
There are currently 8 blog entries related to this category.
The Short Sale Package - What Every Potential Short Sale Seller Needs to Know
Wednesday, August 12th, 2009 at 10:34am. 87 Views, 0 Comments.
What Every Seller Must Have to Request Your Lender to Consider a Short Sale
Once you have come to the conculsion that a Short Sale is the best option for you, there are documents you need to provide to your Realtor. Your Realtor will represent your case to your lender, but you have some work to do up front to give yourself the best chance at being successful with a Short Sale in order to avoid foreclosure.
The following documents necessary to submit what is known as the Short Sale "Package"
- The past 2 months Mortgage Statements (from all mortgage holders including HELOCs)
- The past 2 months of bank statements, including savings accounts
- The past 2 years tax returns
- The past 2 pay period pay stubs for all wage earners who contribute to the…
New Trends in Today’s Wild Wild West in Orange County Real Estate
Friday, May 29th, 2009 at 11:23am. 86 Views, 1 Comments.
Attention Orange County home buyers! Market update! Very important!
What’s hot right now with Short Sale homes for sale in Orange County is for competing buyers to be asked for their highest and best offer - then the higest of the high and bestest of the best offer will be submitted to the bank - IF the buyer agrees to come up with a deposit and open escrow while waiting for a response from the bank(s). Some listing agents in today’s Orange County fast moving (yes, you read it here - FAST MOVING) Real Esate market are even stipulating that the deposit cannot be refunded for 30 days - in order to tie the buyer down and stop him/her/them from continuing to put in offers on other homes. Hmm. What do you think about all of this?
Will this…
Help Coming On Short Sale Woes?
Friday, May 15th, 2009 at 5:55pm. 80 Views, 0 Comments.
The US Department of the Treasury announced yesterday new details about its "Foreclosure Alternatives Program", which is part of the "Making Homes Affortable" program. Short Sales make up about one-third of the homes currently listed for sale in Orange County, and have been a source of frustration for lenders, sellers and buyers because of the lack of any standardized process for handling a short sale transaction. A typical Short Sale can take up to 3 months or more to complete once an offer has been made on the home, and this can often be a problem when the foreclosure is happening at the same time.
The purpose of the Foreclosure Alternatives Program is to streamline the Short Sale process by providing a standardized process flow, establishing…
Has the OC Housing Market Bottomed Out?
Thursday, April 23rd, 2009 at 8:17pm. 105 Views, 0 Comments.
The Orange County Register reported today that the median price of a home in OC climbed for the second consecutive month. The March median was $385,000, up from $375,000 in February and $370,000 in January. Another bullish sign is the continued climb in the number of homes sold. March was the ninth consecutive month of year-over-year sales increases, with 2,433 homes sold - a 46% jump from March of 2008.
There are still plenty of concerns in the market, with homes priced over $500,000 selling slowly, and short sales accounting for about 30% of the homes on the market. One interesting wrinkle is that bank owned homes have become a scarce commodity. Just a few months ago bank owned properties also made up about a third of the transactions, but today…
Straight Talk on Short Sales
Thursday, March 12th, 2009 at 1:42pm. 116 Views, 1 Comments.
Short Sales are a big part of today's Real Estate market in Orange County, but what exactly are they, and what does it mean to me? Here's a little Q&A.
What is a short sale?
A short sale is a sales of Real Estate in which proceeds of the sale are less than the amount the seller owes, and the lender agrees to accept a payoff of less than the balance due on the loan. The lender may also agree to pay other costs associated with the sale. There may be more than one lender on a property - if any of them agrees to accept less than the full amount owed it is called a "shor sale" or "short pay".
How long does a short sale take?
It can take anywhere from one to six months, or even more. Short sale transactions have to go through several phases that may normal…
Home Sales Heating Up, Distressed Inventory Down
Monday, February 23rd, 2009 at 5:04pm. 148 Views, 0 Comments.
Seven Consecutive Months of Year-Over-Year Increases
January 2009 marked the seventh month in a row that more homes were sold compared to the same month in the previous year, as reported by the Orange County Register. The 1,806 homes sold in Orange County in January marked a 40% over the same period in 2008,
Homes Under $500,000 are Hot
A closer look shows that lower priced homes continue to drive the market, fueled largely by first-time buyers and investors. Sales of houses and condos under $400,000 jumped almost 257%, and those priced between $400,000 and $500,000 were up 10.5%. All higher priced homes actually sold at a slower pace than in 2008, as shown by the table below.
| Price Range |
Sales Jan'09 | % Change from Jan '08 |
| <… |
Getting an FHA or a VA Loan on an REO Home for Sale?
Thursday, February 19th, 2009 at 9:15pm. 552 Views, 1 Comments.
Orange County REO Homes for Sale + FHA or VA Financing = Some Things to Watch Out For
So you are ready to make the move off the “I’m one of the hundreds, if not thousands, of Orange County home buyers who can finally get into the Orange County Real Estate market but are sitting on the proverbial fence, waiting for the bottom of the market to finally arrive” because you’ve decided that rates are finally low enough and you’ve found the home that works for you. Congratulations!! Best move you’ll make this decade. But here’s the 411 on your upcoming purchase - if you are using FHA or VA financing and are buying an REO (also known as Bank Owned of Lender Owned) home in Orange County today.
FHA and VA Loans Have Property Condition Requirements…
Bank Owned and Pre-Foreclosure Home Inventory in OC Falls
Monday, December 29th, 2008 at 3:11pm. 105 Views, 0 Comments.
Sales of distressed homes in Orange County currently represents about 50% of all transactions, but the distressed inventory (homes on the market) has been slowly dropping for several months.
The Orange County Register quotes Steve Thomas of Altera Real Estate in his latest market report that
"The distressed inventory peaked in July at 5,950 homes, 41% of the active inventory. Since then, the number of distressed properties hit a plateau and have slowly diminished in recent weeks. Currently there are 5,379 distressed properties on the market, dropping 7.1% in the past month and representing 46% of the active inventory."
Of course, this also means that TOTAL inventory has also dropped, but that's a good sign too. Another positive…
