The Jeff Team Discusses A Lender Reaching Out To Borrower Regarding Foreclosure
Hi, I’m Jeff Reyes with The Jeff Real Estate Team. The Jeff Team is :k1:’s leading short sale team. Today I’m going over the foreclosure timeline provided to us by the California Association of Realtors. If you would like a copy of this or more information about short sales there is a form you can fill out on our website, as well as our phone number. In a previous video I discussed the foreclosure timeline starting when you miss a payment. The timeframe between you missing your mortgage payment and the bank contacting you, considered day 1, in some cases can take up to 6 months. Many of you know if you’ve ever missed a payment, even if you’re in no danger of foreclosure, the bank is calling you right away. Banks have significantly shortened the time period between a missed mortgage payment and contacting the borrower. There are some things that the lender has to do when contacting the borrower about a missed mortgage payment: provide info from a HUD counselor, provide them with alternatives to foreclosure such as a deed in lieu, selling your home in a short sale, and what happens in the foreclosure process. There are lots of different resources out there to help you, even filing for bankruptcy, depending upon your situation. Day 1 of the foreclosure process starts with the lender reaching out to you and that’s a very important part because this timeline can go by quickly. The last step in the foreclosure process is, obviously, selling your home, which occurs on day 152. The time from when a lender reaches out to you to when your home can be sold is only 152 days. That may sound like a lot of time, but really it’s only a few months. We’d love to share more foreclosure information with you. Please reach out to us if you have any questions about foreclosure or a short sale on your home. Our phone number is on the website, as well as a form you can fill out.
The Jeff Team Discusses Pre-Foreclosure Timeline In California
Hi I’m Jeff Reyes with The Jeff Team. The Jeff Team is :k1:’s leading short sale team. Today I want to talk to you about the foreclosure timeline within the state of :k1:. This timeline was given to us by the California Association of Realtors. It gives you a step-by-step guide as to how the lender can foreclose on your home and the time tables it takes to do that.
The first step of this process begins with you missing your home’s mortgage payment. The law states that anywhere from 2 to 5 months can have passed before a lender contacts you about missing your mortgage payment. Sometimes you may hear stories of the bank taking up to a year or two to foreclose on a home; it just depends on how much default that lender is dealing with.
There are usually two main reasons why a person may not make their mortgage payment. The first of these is that they have to miss their mortgage payment because they have no other choice. Some sort of catastrophe has happened; they’ve lost their job or are getting divorced, for example. The second of these reasons is called strategic default. Strategic default is when a person looks at their financial situation and while they may or may not have the means to make the mortgage payment, they tell themselves it’s in their best interest to stop making the mortgage payment. If either of these scenarios applies to you, we are always here to help you short sell your home.
The California Association of Realtors says that we can’t tell you to make your payment or not make your payment, but what we can do is discuss your options, such as doing a short sale, and inform you as to what would happen if you stop making your payment and what would happen if you continue making your payment. If you would like more information about this foreclosure timeline, the different stages of it, or if you would like information on a short sale for your home, please feel free to contact us. We look forward to helping you.
How Long Does a Short Sale Typically Take?
Hi, It’s Jeff Green with the Jeff Team at Allison James Estates and Homes. We are :k1:’s premiere short sale team. We have seven agents and together we have worked on over 300 short sales. Today we want to talk about how long short sales take. A lot of people think since it’s called a short sale, it should be over quick. Well, the term short is not in reference to the time, it’s in reference to the short pay off between what you owe the bank and what today’s market is saying your home is worth. So, to answer the question about how long a short sale takes depends on several key factors. There are two types of short sales in terms of the length of time. There is what we would call pre-approved short sales which are usually from the top down. The bank says, hey you can do a short sale, go ahead and list the property, we’ve approved it to be sold and everything is going to be fine. Just find a buyer, we’ll approve it, and away we go. Unfortunately, those are pretty rare.
Then on the other extreme, you list the house as a short sale, the bank then decides whether or not they are going to do the short sale. So what takes so long? Well, here’s how it works; we list the home for sale, find a buyer, and get into a contract. That’s just the beginning of the process. So, after that you have to submit your information to the bank. It’s similar to applying for a loan, but in reverse. You are applying to get out of a loan. So your information is submitted to the bank, then it gets reviewed by the bank and submitted to the investor. Once they make a decision, they evaluate the property, then finally they will present terms of a short sale. Then escrow begins which can be 30 to 45 days.
Some can be completed in 30 to 45 days from the time we list the house to when it closes. Some short sales take months and months to close.
So, if you have any questions or would like to list your home as a short sale, please give us a call. I’m Jeff Green with the Jeff Real Estate Team. We are :k1:’s premiere short sale team. Thank you very much, and have a great day.
When Does the Bank Know I Am Doing a Short Sale?
Hi, it’s Jeff Green with the Jeff Real Estate Team and we’re :k1:’s premiere short sale team. We have seven agents, and together as a team we’ve handled close to 300 short sale transactions. We’ve been doing them since 2006. Today we are going to talk about when the bank knows you are doing a short sale. Sometimes the bank doesn’t know you are doing a short sale, and they don’t want to know until a certain thing happens in the process.
There are two types of short sales and how the bank gets notified about them. The first type, which is extremely rare, is short sales that fall into the category of being in an outreach program where the bank is actually reaching out to you the borrower and saying that they would like you to short sell your house. They work with you and preapprove the process and it moves quickly.
Another type is the typical normal short sale. You list your home for sale or perhaps you contact the bank and they tell you to find a realtor. Generally speaking, the bank doesn’t really want to hear from us or you, until you have an offer on the house. Their part of the job in the short sale process is to receive the offer and process it. They don’t take action until the offer is presented. Some banks like Bank of America use a system called Equator. It is a system that issues tasks for the real estate agent to perform. The first task is to get an offer and upload that into the system. One of the busiest times of the short sale process is in the pre offer stage. When offers come in and you select an offer of your choosing, then we present it to the bank. This is usually the beginning of the short sale process and that’s when the bank knows that you are doing a short sale.
So if you’re considering a short sale, or would like more information, give us a call or send us an email. We’re :k1:’s premiere short sale team. We’re happy to add you to our group of successful clients in our short sale business. So, give us a call today. Thank you very much.
What Happens When I Short Sale and I am a Member of a Home Owner’s Association?
Hi, it’s Jeff Green with the Jeff Team at Allison James Estates and Homes. We are :k1:’s premiere short sale team. We’ve closed almost 300 short sales, so we can share our experience with you. Today we’d like to talk about what happens if you’re a member of a home owners association, and you’re considering a short sale.
A lot of people are concerned because they are short selling their house, they’re upside down on their mortgage, they’ve stopped making payments, etc… One of the first questions we ask them is if they are still paying their HOA dues. That’s very important because the HOA is not part of the loan and therefore it’s a separate fee. It’s a separate obligation and so it’s not included in the short sale. In fact, if you’re really far behind on your HOA dues, you’re going to have to talk to them. They’ll decide whether they want to put a lien on your property or not, or allow you to pay that off separately. There are situations where the HOA will waive back payments, but it doesn’t happen too often. So be really careful about the HOA situation.
If you’re considering a short sale and unable to make payments now, but want to complete a short sale successfully, it’s advisable to continue to make those HOA payments.
If you have any questions or need further information, or would like to list your home, we’d like to add you to our group of clients who have successfully completed a short sale. So give us a call or send us an email. We look forward to speaking with you soon. We’re the Jeff Team, :k1:’s premiere short sale team.
Should I Continue To Make My Payments During A Short Sale?
Hello this is Jeff Green with the Jeff Real Estate Team, the premiere short sale team in :k1:, thank you for your time today. Our team of seven short sale specialists have handled close to 300 transactions and we look forward to hearing from you in the near future with any short sale questions or concerns. Today I wanted to discuss whether or not you should continue to make your mortgage payments during a short sale. For a lot of people in the :k1: area times are tough and unfortunately the bank account cannot always cover the groceries and the bills. It is certainly a personal decision whether or not to continue paying your mortgage but at the end of the day your bank will still follow through with a short sale if you stop making payments. I have even had lenders ask our clients to stop making their mortgage payments during the short sale process in the past. Since the property is worth less than what you owe the bank is not too concerned about your monthly payment since they will not recoup all of the money. This is certainly a difficult decision for any one but it is important to do what is best you and your loved ones. If you have any more questions surrounding short sales please contact me or visit the Jeff Real Estate Team website today. Our team of short sale specialists would love to add you to the list of :k1: residents that we have been able to help get out from under their distressed property. Thank you for joining :k1:’s premiere short sale team and have a great day.
Is It Possible to Short Sell Your House When You Have a Job Transfer?
Hi, it’s Jeff Green with the Jeff Real Estate Team. We’re :k1:’s premiere short sale team. We currently have seven agents on our team and we’ve handled close to 300 short sales and we’d like to be able to work for you and share our knowledge of short sales.
Today we are going to talk about the possibility of you getting a job transfer and what would happen. One situation people can find themselves in is your house is upside down, but you’re happy where you are, so you try to just hang on until the market turns around. At that time you really didn’t have a financial hard ship, but you need to leave for your job transfer. You probably can’t rent your house for what it’s worth, so you’re going to continue to be upside down. The good news is a job transfer does present a financial hardship. We have successfully completed many short sales for those who have had a job transfer. It’s handled on a case by case basis, but that is one of the criteria that the banks use to make a decision on whether or not to accept a short sale.
We’d like to tell you more about the short sale process and what is involved. We would also like to add you to our list of clients who have been successful in completing a short sale. Please take a moment to give us a call or drop us an email so we can help. We are the Jeff Real Estate Team :k1:’s premiere short sale team, and we look forward to hearing from you soon.
What Are Some Reasons a Short Sale Takes a Long Period of Time?
Hi we’re Jeff Reyes and Jeff Green and we’re the Jeff Real Estate Team with Allison James Estates and Homes. We are :k1:’s premiere short sale team. Today we want to talk about why short sales take so long. The name doesn’t mean it sells in a short amount of time, it means it’s a short pay off to the bank.
There are several players involved in the short sale process. There’s the seller, the buyer, the agents that represent both and the lien holder. One of the biggest issues with a short sale taking so long is client, agent communication. That includes the seller to the agent and the buyer to the agent. The problem with this is the contract has a timeline. Sometimes you could have to start the process over. If the short sale contract runs out of time, the bank can say no and foreclose anyway. This is something we try to avoid.
One thing we do is we’re very tech oriented. We work with electronic signatures, so you don’t have to run down here all the time to sign paperwork. This is beneficial if both parties are in different states. We also have a full time staff to make sure the deal goes through. It is beneficial to have a group of people working for you to make sure things get completed.
There are two overall reasons why short sales take so long. Number one is the investor, number two is the bank. The banks are on a great big backload of files and processing and that takes a long time. The investor is the organizations and entities that have funded the loan on your house. When you get a loan on your house, often times it’s sold and reinvested by multiple parties. Every one of those parties has to sign off on the short sale as being a liquidation of your property.
We make sure we have everything in order so they can review it quickly and approve the transaction. We try to have the quickest communication between everyone involved. If you have any questions about the :k1: short sale process, or if you just want to brainstorm or talk, give us a call or an email. We’d love to help.
Can A Family Member or Someone I know Buy My Short Sale?
Hi We’re Jeff Reyes and Jeff Green. We are the Jeff Real Estate Team with Allison James Estates and Homes. We are also :k1:’s premiere short sale team. We have a popular question that gets asked a lot. That is, can a family member of mine purchase the home or somebody I know? Basically the question comes back to can they buy it and I can stay in the home? Or sometimes can I just sell it to a family member because there is an emotional tie to it.
There is in real estate, something that’s called an arm’s length transaction. This means that within the transaction, there has to be a distance between you and the buyer. That distance has to be between relationships, being related. So if your family member wants to buy the house, the answer is unfortunately no. They’re going to do a statement of information on you as well as a background check. A lot of banks require the social security numbers not only of the seller but the buyer as well. They just do a quick analysis and typically you can’t sell it to a family member. You may be wondering why until you look at it from the investor’s point of view. This person owes me $300,000 and the home is worth $150,000, so they are taking a $150,000 hit. If I’m going to take this hit, there should be consequences to this person. The reason why they do that is because if you were able to sell the house to somebody you know and stay in the house, besides your credit, where is your consequence? They want to be able to say, get rid of it and move on. There has to be consequences.
That brings up another question. Can my house be sold to an investor and rented back to me? That is not a question that we deal with because we don’t deal with the landlord/tenant issue of the property after the sale. There may be some paperwork that the bank has you sign saying you won’t do that, but there may not.
The bottom line with all of this is that people try things; they do things to try and keep their house. You have to be aware that if you fraud a federally insured institution, which all banks are, you’re committing a felony, and you could go to prison for it. We don’t participate in that. It’s not worth our time to do anything that’s going to result in prison. We encourage you to find a better solution.
Those facing foreclosure may feel imprisoned in your current situation, but once you get out through liquidating the property, you’ll feel a lot better. We’re here to talk to you about that. Whether or not you decide to do a :k1: short sale, we’d be happy to discuss your options and give you some pointers and things to look at. Give us a call or email us. We are the Jeff Team, a premiere :k1: short sale team.
How Long Can I Live in My Short Sale?
Hi It’s Jeff Green and we’re the Jeff team with Allison James Estates and homes. We are :k1:’s premiere short sale team. There’s a question that’s come up over and over again and that is if I’m short selling my house, I have it listed, do I need to move out? If I do, how soon do I need to move out, and how long can I stay in the house? Some people get stressed out and they don’t want people to know they’re in this situation. You may be wondering if you list your house as a short sale, is the bank going to knock on your door and tell you to leave. The answer is absolutely not. You are still the owner of the property; the title is still in your name, so you basically have until the close of escrow to move out. Before the bank could even evict you, they would have to foreclose on you, which we are trying to prevent.
The nice thing about the short sale process is that you can stay through the whole time. There are a couple of big reasons that we encourage you to stay throughout the entire process. One of the biggest reasons is you get to stay in the home, it’s occupied, it’s not going to be vandalized. If you move out of the home, when the buyer comes in to do their inspections, the water and electricity have to be turned back on, in the meantime, the property is losing value. The lawn is dried out, etc… The longer you can stay in the property throughout the transaction, the better. Understandably, it can be an emotionally charged event, and sometimes you just want to make a clean break and we get that. We have solutions to that problem as well. For the most part, we encourage you to stay in the home. If you vacate the home and the bank finds out it’s vacant, they can slap on their own homeowners insurance policy because they want to make sure the home isn’t vandalized and if it is, they have insurance to back that. Then it becomes another lien on the property and we’ve got to get that off too, and it can be expensive.
As you stay in the home, you can gradually start to pack things that you don’t need at the present time. This is something that you’ll have to do eventually. You may have questions about showings. Sometimes short sales can take up to six months, so you may be wondering if the property is going to be shown for the next six months. Typically not, usually what happens is two to three maybe four weeks of marketing time, after we have a buyer and we’re under contract, we don’t want to run people through the house. We’ll give you a little peace during that time.
If you have questions, or you need more information about a :k1: short sale, we’re here to talk. You can call or email us. We look forward to helping you.
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