The U.S. Treasury announced on Nov. 30th, 2009, new guidelines to the Short Sale process that could speed the housing market recovery, a move REALTORS have been promoting in Washington D.C. for the past year.
Short Sales, transactions that can occur when a lender accepts the sale of a home at a price below the actual amount owed on the home, have become an increasing part of the real estate business as besieged homeowners look for alternatives to foreclosure.
Until now, the Short Sale process has been cumbersome for all involved and took upwards of 3-4 months for a transaction to close. The new guidelines enhance the short sale process in several ways:
SPEEDS UP THE PROCESS - MORTGAGE SERVICERS HAVE 10 DAYS TO SAY YES OR NO TO A SHORT SALE REQUEST, AND AFTER THE TRANSACTION IS COMPLETE, THE BORROWER COULD BE COMPLETELY RELEASED FROM DEBT.
PROVIDES FINANCIAL INCENTIVES. BORROWERS ARE ELIGIBLE TO RECEIVE A $3000 MOVING ALLOWANCE ( Fannie Mae and Freddie Mac loans ) IF THEY SELL THEIR HOME THROUGH A SHORT SALE, AND MORTGAGE-SERVICING COMPANIES WILL IN TURN RECEIVE $1000 FOR EVERY COMPLETED SHORT SALE TRANSACTION.
LIMITS PROCEEDS TO SECOND LIEN HOLDERS - SECOND MORTGAGE HOLDERS CAN RECEIVE UP TO $8500 OF THE SALES PROCEEDS TO RELEASE THEIR LIENS AND IF THEY ARE HUD FIRST MORTGAGES, THE SECOND LIENHOLDER WILL RECEIVE $2500.
I HAVE BEEN INVOLVED IN LISTING AND SELLING SHORT SALES SINCE 2007 AND HAVE THE EXPERIENCE AND KNOWLEDGE TO HELP YOU IF YOU ARE UNDER WATER ON YOUR MORTGAGE. I AM A "CERTIFIED DISTRESSED PROPERTY EXPERTS" (CDPE) AND KEEP UP WITH THEIR TRAINING AND CHANGES IN THE INDUSTRY.
DONNA CHOREY, BROKER ASSOCIATE. CELL 719-640-8168
CHERRY CREEK PROPERTIES, LLC