SHORT SALES-THE END??
Monday, April 8, 2013 | 4 comments
Silicon Valley (Photo credit: Wikipedia)
For about 2 years now my market (Silicon Valley) has seen a steady increase in sales prices. This is finally causing changes in Banks approach to Short Sales.
I just had my 1st experience where a Bank (BofA) cancelled a previously approved short sale when they realized that the current value of the property is now higher than the amount of the loan.
They have now re-started the Foreclosure process where they can expect to get all of their money back and not have to take a loss after all.
This also gives the owner/borrower the opportunity to minimize the Credit hit by selling the property before the foreclosure completes, and maybe even get a little money back themselves.
I firmly believe that the age of the Short Sale Specialist is coming to it’s end and all those useless seminars will disappear with them.
However, there
Bank (Photo credit: 401(K) 2013)
for the home owner who is falling behind if the Banks begin to think it might be smarter to foreclose and lose a lot less than previously, rather than expend time and effort trying to keep the afloat.
The next 6 month will be very interesting.
