Orlando Short Sales & Foreclosures » Sellers

Avoid Foreclosure by Doing a Short Sale

admin — Mon, 14 Jun 2010 14:30:32 +0000

Orlando Homeowners in Trouble have many options!

Facing foreclosure in the Greater Orlando area is not only a financial crisis; it can also be an emotional crisis. So this is a time to take stock and examine your options.

There are several reasons why Orlando homes go into foreclosure. Perhaps the home was purchased at the peak of the real estate market and just before prices started to fall. Another scenario might be that the mortgage was interest only, so no equity was built up. Or perhaps the mortgage was an ARM and now the interest rates have risen, making it difficult for the Orlando owner to handle the mortgage along with daily expenses. The reason is part of the past, and these Orlando owners must now deal with the future. The first item on the agenda should be to avoid foreclosure.

If you can still pay your mortgage for the foreseeable future and don’t need to sell your Orlando home, then your best bet might be to wait out the market until the market is more favorable.

If you are unable to pay your current mortgage but could if refinancing was in the picture, you should negotiate with your Orlando lender. If they decline to refinance your mortgage then you should contact one of the government agencies offering assistance to homeowners who find themselves in your situation. This solution might include the agency working with your lender to strongly encourage them to refinance your home rather than foreclose.

The reasons your lender might not want foreclosure is because it really represents a no-win situation for both parties. A foreclosure is expensive and takes a great deal of time, and the lender ends up with an Orlando house they really don’t want, and when it goes to auction it likely will sell for far less than it should.

Steps in an Orlando Short Sale

A short sale is an involved process, but in a nutshell the Orlando seller needs to establish a selling price with the help of an Orlando Short Sale Expert, find a buyer and with an offer, in hand, and present the offer to the mortgage holder. Along with the offer you must disclose your finances, as well as a hardship letter that details why payments can no longer be made. Check with your lending institution to see if there is other information that is required. If the offer is ultimately accepted then you have taken the first step in your financial recovery.

Why a short sale is in your best interest. This is a step above foreclosure. Both show up on your credit report, but the short sale is less of a black mark than a foreclosure. While foreclosure is a legal settlement where lawyers and possibly their fees are involved, a short is between you and your lender, and you will be more able to buy another Orlando home, obtain credit cards at a better rate or even renting an Orlando home sooner than if you had gone through foreclosure. There is also a tax provision that waives income tax took effect 12/20/07. The provision excludes forgiven mortgage debt on a principal residence for the period of January 1, 2007 through January 1, 2010. Previously forgiven mortgage debt was considered the same as taxable income. Speak with your CPA for further information.

Is A Short Sale Right for Your Situation?
Find out today: If you live in Central Florida, contact The Orlando Property Group, your experienced short sales agents, specializing in real estate in Lake, Seminole, Orange, and Volusia Counties.

Seaching for a great real estate value in Central Florida? Need help with a short sale?
Call or email me TODAY to go over your options!!!!!!

“It’s only a buyer’s market if you’re ABLE to buy!”

Looking for specific information regarding Orlando Florida real estate prices and communities? Get Your Free Market Snapshot

Read Also: Orlando Florida Facts & Resources

We’re experts at putting people together with homes they love and can afford. Contact us today for information on Orlando and Seminole County real estate, Orlando & Seminole County homes for sale, Orlando & Seminole County relocation information, a free market analysis of your Orlando area or Seminole County home or statistics on homes in Orlando & Seminole County Florida or the surrounding Central Florida area, including Seminole County, Orange County, Lake County and Volusia County. We’re always available to answer your questions.

What to Expect With A Foreclosure

admin — Tue, 24 Feb 2009 21:39:07 +0000

If you’re an Orlando homeowner teetering on the edge of financial collapse, President Obama’s foreclosure relief program may not arrive in time to save your home. You may think foreclosure is an option but do you know what to expect? An article by David Colker of the Los Angeles Times offers some insight.

You could continue paying as long as you can scrape the money together, but Mike Hines, a speaker for NeighborWorks Homeownership Center in Sacramento, says that plan frequently fails. “There is a point where you are just throwing money into a ship that’s sinking, I’ve seen people run up $10,000, $20,000 on credit cards to try and save their house, and they lose it anyway.”

Hines says homeowners who call to negotiate with their lenders are usually routed directly to the collections department, but it’s good to get your attempt on record and keep track of all calls made by you or to you.

When you’re late, you’re late. The no-penalty grace period applies to the late fee not your status: One day past the due date and your officially delinquent. Calls from the collections department may begin. If your history shows payments made consistently 11 days past the due date with never a missed payment, you probably won’t be bothered, but it depends on you lender. Initial calls may be friendly but will quickly deteriorate into suggestions of selling your car, cashing in your 401k or borrowing from relatives so you can make your mortgage payment.

Esther Cadavid, chief development officer for the Los Angeles Neighborhood Housing Services, reports their organization provided counseling to 5,500 homeowners with mortgage problems. In spite of their efforts, the results were not promising. “About 6 out of 10 families that we saw were not able to save their homes,” Cadavid said.

If the worst happens and you’re not able to make your payments, the lender will initiate the foreclosure process and file a Lis Pendens with the County. This puts everyone on notice of a pending law suit which is soon followed by the actual suit. At that point the clock is ticking until you’re evicted and the property is offered for sale at the County Courthouse. You may still stop the proceedings by paying all past due payments, fees and penalties and bringing your mortgage current. Or, there’s a possibility of having the lender approve a loan modification but you’ll have to meet certain requirements including proof you can make the adjusted payment. And, of course, there’s the remote chance that the President’s relief plan will move faster than predicted.

What else can you do? Consider a short sale. Homeowners may find a quick sale of their property offers the best solution to their current mortgage woes. Learn the basics of short sales or talk with an experienced short sale agent to know if this option is right for you.

Seaching for a great real estate value in Central Florida? Need help with a short sale?
Call or email me TODAY to go over your options!!!!!!

Looking for specific information regarding Orlando Florida real estate prices and communities? Get Your Free Market Snapshot

Read Also: Orlando Florida Facts & Resources

Will Obama’s Foreclosure Relief Plan Help Orlando Homeowners?

admin — Fri, 20 Feb 2009 19:56:41 +0000

On Wednesday, February 18th, President Obama announced his 75-billion-dollar foreclosure relief plan during a visit to Mesa, Arizona. Major components of the plan include allowing Fannie Mae and Freddie Mac to provide refinancing at more than 80% loan-to-value and at reduced interest rates, offer incentives to lenders so they will work with borrowers on loan modifications, take action to keep mortgage rates low for middle-class home buyers, and support innovative reforms on bankruptcies, community grants and other potential solutions.

With 10-million home foreclosures anticipated nationwide over the next four years, help can’t come too soon. But will it be soon enough? An article by John Shoen, a Senior Producer for MSNBC.com says the problem is so huge, that President Obama’s relief plan will leave many eligible homeowners out in the cold.

A major stumbling block is the plan relies heavily on loan modifications. Loan modifications are a potential stumbling block since the decision on which homeowner to help and how much to help still rests with the individual mortgage holder. Even under similar circumstances, negotiations between a lender and a homeowner will vary from case to case and can result in different outcomes where one owner finds relief and the other is forced into foreclosure or a short sale.

Details of the plan won’t be made public until March 4, but lenders expect to be flooded with calls from Americans struggling to stay in their homes. Since, according to Goldman Sachs, the plan has funding to cover only about 8 percent of residential mortgage losses, millions of homeowners may be disappointed. Much of the success of this program depends on how private lenders and investors react and whether they are willing to allow service companies to act on their behalf. Mortgage servicing companies collect payments for the investor and find themselves caught in the middle. If they negotiate changes to the original terms so that the homeowner benefits, they may get sued by the investor for not performing as agreed. Unfortunately, this version of the foreclosure relief plan does not include protection from lawsuits for service companies. Lack of action by this lending group means more homeowners will have no choice but a short sale or foreclosure.

Orlando homeowners looking for a quick sale may not be able to wait for assistance from the foreclosure relief plan, especially since lenders may not respond positively with workable loan modifications. However, these owners may find some comfort in a Fannie Mae pilot project being tested in this Central Florida area. The project speeds up short sales by pre-approving properties and cutting out time normally required for back-and-forth negotiations.

If you’re a homeowner in the Orlando region who needs a quick sale, insist on working with a Realtor® experienced with short sale. It can be more difficult and time-consuming if you go it alone or work with an agent without a proven track record, so choose a Realtor® who understands the system and can help you navigate the choppy waters and negotiate your way out of your current situation.

Is A Short Sale Right for Your Situation? Find out today: If you live in Central Florida, contact The Orlando Property Group, your experienced short sales agents, specializing in real estate in Lake, Seminole, Orange, and Volusia Counties.

Seaching for a great real estate value in Central Florida? Need help with a short sale? Call or email me TODAY to go over your options!!!!!! Looking for specific information regarding Orlando Florida real estate prices and communities? Get Your Free Market Snapshot Read Also: Orlando Florida Relocation Resource Guide Read Also: Business 2.0 Magazine has named Orlando the number 1 hottest market with America’s best jobs. Read Also: Orlando Florida Facts & Resources Read Also: Orlando Florida City – Everything You Need To Know! If you are wanting to sell your Seminole County or Orlando area home in the next 6 to12 months, now is the time to begin putting your plan into place while time is still on your side. Please contact us for any real estate assistance you may need. We’re experts at putting people together with homes they love and can afford. Contact us today for information on Orlando and Seminole County real estate, Orlando & Seminole County homes for sale, Orlando & Seminole County relocation information, a free market analysis of your Orlando area or Seminole County home or statistics on homes in Orlando & Seminole County Florida or the surrounding Central Florida area, including Seminole County, Orange County, Lake County and Volusia County. We’re always available to answer your questions.

Orlando Short Sales Mean Great Deals

admin — Mon, 09 Feb 2009 03:30:07 +0000

A recent Money Magazine article written by Joe Light touted the advantages of a short sale in today’s market. When a buyer is looking for a bargain in Central Florida, a short sale can be the answer. And when a home owner needs a quick sale due to financial difficulties, working with an experienced short sale Realtor® can mean be the light at the end of the tunnel.

According to Light, the dream of finding a bargain through a short sale isn’t a myth. He cited the example of the Gavitts, a couple who bought a home in Sacramento, California, for $200,000 less than they would have paid two years ago. They discovered that some buyers and many real estate agents are leery of short sales which means they had less competition from other bidders. Brian Gavitts said, “I’m glad people are turned off by short sales. It just means more choices for the rest of us.”

Another benefit of a short sale is, that compared to a foreclosed, vacant property which may be deteriorating, most homeowners offering a short sale are still living in and caring for their home. The only drawback is that a quick sale might not be so quick. However Orlando home sellers and buyers may fare better than the rest of the nation as Fannie Mae has chosen Orlando for a pilot project to speed up the short-sale process by pre-approving properties.

In his article, Light had several suggestions for home buyers:

Know what you’re getting into: Except for pre-approved properties that are part of the Fannie Mae program in Orlando, delays may occur because several parties are involved and lenders may be overwhelmed with short sale offers.

Find an experienced professional: Make sure you work with an agent who understands short sales and has been successful with this process.

Narrow the list to reduce delays: You might want to pass on a home that has more than one lien on it since it means negotiating with more than one lender. If the seller has another offer pending, your offer may not even be submitted for approval until the first one rejected which means more wait time.

Determine the right price: The listing agent may have seriously under priced the home to attract buyers but the lender won’t accept such low-ball offers. An experienced, professional Realtor® will determine the home’s fair market value and help you set the best price to submit to the seller.

Protect yourself: This is where relying on a pro will pay off. When the seller’s agent asks you to sign a contract, your agent can help with the details such as not agreeing to pay for an appraisal or inspection until your offer is accepted and asking the lender to pay for all closing costs. Discuss the deposit with your agent, too. You shouldn’t tie up more than $3,000 before the lender agrees to your offer.

Bug your agent: If you don’t hear from your agent once a week, make a call yourself to make sure the seller’s agent is contacting the lender every day. The squeaky wheel gets the grease.

Pay attention to the market: The lender usually wants to make at least 90 percent of the home’s current value so may counter your offer. Consider their response as a guideline. If the market has stayed flat, you can counter back for 5 or 10 percent less than the lender asked for. If you can prove the home’s value has dropped even more, you could counter back for even less.

The key element according to Light is to have an experienced short sale agent on your side to make sure the quick sale is quick and you find the Orlando bargain you’re hoping for.

Is A Short Sale Right for Your Situation? Find out today: If you live in Central Florida, contact The Orlando Property Group, your experienced short sales agents, specializing in real estate in Lake, Seminole, Orange, and Volusia Counties.

Read Also: Orlando Florida Facts & Resources

If you are wanting to sell your Seminole County or Orlando area home in the next 6 to12 months, now is the time to begin putting your plan into place while time is still on your side. Please contact us for any real estate assistance you may need. We’re experts at putting people together with homes they love and can afford. Contact us today for information on Orlando and Seminole County real estate, Orlando & Seminole County homes for sale, Orlando & Seminole County relocation information, a free market analysis of your Orlando area or Seminole County home or statistics on homes in Orlando & Seminole County Florida or the surrounding Central Florida area, including Seminole County, Orange County, Lake County and Volusia County. We’re always available to answer your questions.

Attracting buyers for your Orlando home for sale

admin — Mon, 02 Feb 2009 01:42:55 +0000

WORDS HAVE AN IMPACT IN MARKETING YOUR ORLANDO HOME

Just as a resume’s main function is not to get you the job, but to land you an interview, the words you use when describing your home is not to get the sale, they are used to spark enough interest so that prospective buyers will want to see your home. If they don’t see your Orlando home there is no shot in them buying it!

If three or four homes have the same features , are location friendly and fall into the targeted price range, then you want to be sure the words you use single your Orlando house out as the one they decide to tour. After pricing your home correctly, it is your presentation that will affect your sale the most.

If these do describe your home, then you might also want to encourage buyers who are up to doing their own work with applicable additional positive phrases such as good bones, great period architecture, fantastic location, or huge wooded lot.

If there are expensive items that have been done in the home mention them specifically, as in :

new roof
new driveway
new furnace/air conditioning

If some are the major expense items have been done, it might encourage your handyman to take a look at the property. On the other hand, if you have a desirable home that is competing with all the other desirable homes, you have to make an effort for your words to describe your Orlando home so that you increase the buyer’s likelihood to view your home.

It is important that the words you use must accurately describe your Orlando home. In today’s world if you have done anything to “green” your Orlando home, mention that item. There are many young Orlando buyers who have an intense interest in conservation and things “green”.

Obviously you cannot use each and every word or phrase that describes your Orlando home, but be sure to select the features that are unique and best highlight your home.

Thinking of selling Your Orlando home? Find out today: If you live in Central Florida, contact

We’re experts at putting people together with homes they love and can afford.

Contact us today for information on Orlando and Seminole County real estate, Orlando & Seminole County homes for sale, Orlando & Seminole County relocation information, a free market analysis of your Orlando area or Seminole County home or statistics on homes in Orlando & Seminole County Florida or the surrounding Central Florida area, including Seminole County, Orange County, Lake County and Volusia County.

We’re always available to answer your questions.

Fannie Mae Speeds Up Orlando Short Sales

admin — Thu, 29 Jan 2009 22:55:25 +0000

Good news for Orlando area homeowners forced to sell their homes during this economic recession: The Federal National Mortgage Association, known as Fannie Mae, is trying a new pilot program to speed up the short-sale process. Orlando’s bargain housing market has passed Miami, Fort Lauderdale and Jacksonville in the number of homes sold in the past year, and Fannie Mae is hoping this new program will spur even more sales in this region. The program began in late December and is also being tested in Phoenix, Arizona.

As reported by Jerry Jackson of the Orlando Sentinel, Fannie Mae has already pre-approved 300 homes for short sale in 11 Central and Southwestern Florida Counties. Among those counties are Orange, Seminole, Lake, Osceola and Volusia. With only a small number of homes included in the pilot program, this won’t make a dent in the inventory of homes on the market, but a positive result would lead to expanding the volume of pre-approved houses and encourage other lenders to follow with a similarly aggressive program.

A short sale occurs when the lender determines the homeowner has a financial hardship and agrees to take less than what’s owed on the mortgage. Prior to Fannie Mae stepping in, lenders were reluctant to accept a reduction in the balance due and, with little incentive to act, would frequently wait two or three months before responding to a short sale request.

“Right now, short sales can take months and months until you get an answer back, and sometimes the answer is ‘We’re not interested.’ This program will cut through that,” said Marty Hunt, President of the Mid-Florida Regional Multiple Listing Service (MFRMLS) in his interview with Jackson.

MFRMLS which includes the Orlando Regional Realtor Association will assist the program by flagging homes pre-approved for short sale. This will alert member agents that these properties can be marketed for quick sale—a vast improvement over the slow, waiting game normally associated with a short sale.

Fannie Mae was able to speed up the short-sale process by researching the property and getting necessary clearances upfront. This eliminates many potential stumbling blocks that have wasted time and frustrated both sellers and buyers in the past. Having lenders decide early on what payoff amount they are willing to accept would allow inventory to sell more rapidly. “That’s crucial to turning this around,” Hunt said. It’s especially important in some of the newer subdivisions where 50 to 60 percent of sales are through foreclosure or short sale. A reduction in inventory coupled with a reduction in the number of days a home sits on the market could help stabilize home values and improve consumer confidence. Fannie Mae’s short-sale program is a win-win solution for struggling Orlando area homeowners.

Seaching for a great real estate value in Central Florida? Need help with a short sale?
Call or email me TODAY to go over your options!!!!!!

Looking for specific information regarding Orlando Florida real estate prices and communities? Get Your Free Market Snapshot

Read Also: Orlando Florida Facts & Resources

Orlando Homeowners: Avoid Foreclosure Scams

admin — Wed, 28 Jan 2009 20:16:11 +0000

With foreclosures occurring in nearly every Orlando neighborhood, a mob of unscrupulous vultures has swooped in to prey on desperate homeowners. Here are a few things to watch for to protect yourself from their scams:

If you’re contacted out of the blue by someone claiming to be with your lender and offering to assist you with a loan modification, check caller ID and get a phone number to call them back to verify they’re with your mortgage company. Don’t trust a caller just because they have information about your loan. Basic loan details are public record and anyone can find out when you took out your home loan, the loan amount and the lender’s name.

If you’re contacted by anyone offering a guaranteed loan modification for you, you should know that you have to prove you have a steady source of income in order to qualify for the modification. If you’re told you don’t need income, you’re being conned.

If you’ve had a loan modification in the last six months and failed to keep up the payments, and someone is offering you another chance that seems too good to be true… it is too good to be true.

If you’re told you need to sign over the deed to your home to get the process started, don’t do it. This is a very common hustle; just say “no.”

If you’re given the offer of letting a new “buyer” assume the payments, don’t believe it. Assumable loans disappeared long ago, and it’s highly unlikely that your mortgage allows this option.

If you’re told there’s no need to contact the lender, a title/escrow company or a real estate agent, you’re being isolated so you won’t learn the truth.

If you’re told by anyone that they’ll pay off your first and second mortgages AND give you cash on top of that, you’re most likely being scammed. Orlando home values have dropped and unless you’re in an unusual neighborhood that’s held all its value, this offer should raise a red flag. Get a second opinion from a Realtor® you trust.

If you want to test the caller, ask them to mail or fax the details so you can go over the papers with your attorney. The response will probably be dead air as you’re quickly disconnected!

A Short Sale May Be Your Only Solution

So, if none of these “bailouts” is real, what can you believe and who can help? The truth is the only option for most homeowners upside-down on their mortgages may be a short sale and working with a Realtor® experienced with short sales. Your short-sale agent can negotiate with your lender and help you prepare the short-sale package needed to take this process from your first ray of hope to a successful sale.

Is A Short Sale Right for Your Situation? Find out today: If you live in Central Florida, contact The Orlando Property Group, your experienced short sales agents, specializing in real estate in Lake, Seminole, Orange, and Volusia Counties.

Mortgage Woes for Orlando Homeowners? Consider A Short Sale

admin — Sun, 25 Jan 2009 22:11:10 +0000

This is not a good time to sell a home in the Orlando area, but what if you need to sell now for a variety of reasons such as a divorce, illness, a necessary move, or job loss? Or maybe you had an adjustable rate mortgage and the increase in your monthly loan payment has made it impossible for you to keep up. For many Americans who are barely making it each month, especially those who bought during the housing boom when prices were at their highest and lending standards were at their lowest, any financial bump in the road means they’re falling behind on their monthly obligations.

Unfortunately for Orlando homeowners, you find your home value has dropped, and you’re “upside down” on the mortgage, meaning you owe more than the home will sell for in today’s market. If you sell your house for less than it’s worth, you are obligated to make up the difference between your proceeds from the sale and the balance due. Instead of walking away with a profit, you have to come up with additional funds. But what if you don’t have the cash to payoff the lender? If this is your situation, consider a short sale.*

If time was on your side, you could wait for the economy to recover, but a recent report by PMI Insurance predicted home prices in Orlando would continue dropping through the third quarter of 2010. Your best bet to sell now is to contact a Realtor® who specializes in short sales in the Orlando area and can negotiate on your behalf to get the lender to accept less than the balance due.

The good news for Orlando homeowners choosing the short-sale route is that lenders are beginning to see the value of accepting reduced payoffs rather than foreclosing on more properties. Compared to a short sale, the lender has more expenses with a foreclosure including a trustee’s sale, trustee’s fees and legal fees. Plus when a property is declared in foreclosure, the mortgage is considered “non-performing” which makes it a negative and harder to sell on the secondary market. So, with more lenders recognizing the benefits of the short sale, homeowners who work with a experienced Realtor® are finding it easier to sell their homes and move on with their lives. A successful short sale is a win-win for both lender and seller.

*A short sale will adversely affect credit history but it’s not yet determined if it will have the same impact as a foreclosure. Contact your financial planner, attorney or accountant for consequences of short sales or foreclosures.

Seaching for a great real estate value in Central Florida? Need help with a short sale?
Call or email me TODAY to go over your options!!!!!!

Looking for specific information regarding Orlando Florida real estate prices and communities? Get Your Free Market Snapshot