Short Sales - It's How To Avoid Foreclosure

By
Real Estate Broker/Owner with Equity First Realty VA BKR# 0225058489

Short Sales - It's How To Avoid Foreclosure In Richmond Virginia

Short Sales - It's How To Avoid Foreclosure In Richmond Virginia

With real estate values in Richmond VA plummeting back to prices not seen since the late 90's Richmond VA area Homeowners are finding it impossible to Those not behind on mortgage payments have two choices. Wait several years until the Richmond VA market corrects then sell. Or, bring a BIG FAT CHECK to closing, pay down your mortgage, and hand the keys to the buyer. Obviously, for people current on their mortgage paying somebody to buy their house is not favorable. Considering foreclosure in Richmond VA is at an all time high, the number of people behind on their mortgage is staggering. If you are behind you can either suffer a foreclosure or attempt a Short Sale.

What is a short sale?

A short sale is when the Lender (the Mortgagee) agrees to accept as full payment an amount which is less than the actual mortgage payoff balance that is due from the Homeowner (the Mortgager).

Is there an advantage for the Homeowner to agree to a short sale?

As a rule, the homeowner cannot receive any proceeds from the sale of a house sold through the Short Sale process so why would they agree to it? Because a foreclosure will absolutely destroy your credit rating and in this day and age the availability of credit is everything. Without credit you can't buy another home, you can't buy a new car, and you can't run to the grocery store if you're out of food and money before payday. Most importantly a foreclosure will stay on your credit report for 10 years or more. A Short Sale will drop your credit score significantly but it is temporary and not as damaging to your credit as a foreclosure. In addition, it should drop from your credit report in 2-3 years.

What's the advantage for a Lender to agree to a short sale?

The lender will agree to a Short Sale if and only if it makes financial sense. Let's face it, banks are in the business of making money or they won't be in business very long. If you're behind on your payments and have low or even negative equity then it makes sense for the Lender to at least entertain an offer. Although there are numerous factors in the equation, what the lender really wants to know is can they come out ahead financially by accepting a Short Sale? Once proposed, they are going to do what's in their best interest and hopefully that decision will benefit you the Homeowner as well.

When a bank has a non performing asset such as a house, and that house is not generating income through mortgage payments, the banks want and in many ways need that house off their books. To get that house off their books they have two choices. They can foreclose on the homeowner which can be a very lengthy and very costly expense to the bank with little or no possibility of recuperating those expenses from the Homeowner. Or they can accept a Short sale. So who should attempt a Short sale?

Is it possible for the homeowner to short sale their own home?

Possible? Yes. It's also possible to win the Powerball too. A Short Sale should not be attempted by the homeowner. Why? Because when you are behind on your payments, each and every day that passes you are one day closer to a foreclosure auction. There is no room for error and there may only be one opportunity to get the lender to accept the discounted purchase price. There is much involved and little time do get it all accomplished. A short Sale is best negotiated by That team consists of Negotiators, Appraisers, Inspectors, Real Estate Agents, Contractors, Surveyors, Attorneys, Title Companies, Mortgage Brokers, CPA's and others that complete the team. It is unlikely the Homeowner will have these team players readily available and functioning as a well oiled machine. These professionals must work together to present your best case to the lenders Loss Mitigation Department in an effort to help you avoid Foreclosure in Richmond VA. A short sale is best accomplished through a local professional Richmond VA area home buyer.

We offer free, discreet consultations over the phone, at our office or in your home and there is never any obligation. Contact us today or apply online for more information.

Please take the time to browse through our website and gather the information that you need. If at any time you have further questions about what we can do for you in your situation, you can email or call us at anytime and we will be happy to assist you. Thank you for reaching out to The Marcus Rice Team.

Contact our team today to learn more about your options

Certified Distressed Property Expert

Please contact Marcus for a free consultation and we will work with you to either help you save your home or sell it. WWW.RICHMONDVAHOME.COM for more info or call 804-247-8187.

Finding your Richmond, VA. dream home has never been easier, use our links to get started.

WWW.RICHMONDVAHOME.COM

WWW.RICHMONDHOMESEARCH.NET

The Marcus & Tonya Rice Team specializes in Richmond, Va, Henrico County, Chesterfield County, Powhatan County, Hanover County, Petersburg, Colonial Heights, and Fort Lee Homes and Real Estate for sale. We are tech savy realtors with over 11 years experience. Please join us on our Social Networking Network to stay up to date on Richmond Virgina real estate news and more...

The Marcus Rice Team can be reached at 804-247-8187 or remaxrice@live.com

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The Marcus Rice Team
RE/MAX Allegiance

13204 Hull Street Rd.
Midlothian, VA 23112

Call Marcus at 804-247-8187
Office 804-419-1420

www.richmondvahome.com
email:
remaxrice@live.com
Short Sale Site:
www.VaShortSaleTeam

Certified Distressed Property Expert

RICHMOND VIRGINA SHORT SALES, PETERSBURG VIRGINIA SHORT SALE SPECIALIST, COLONIAL HEIGHTS VIRGINA SHORT SALE SPECIALIST, CHESTER VIRGINIA SHORT SALE SPECIALIST, RICHMOND VIGINIA SHORT SALE SPECIALIST, SUNTRUST SHORT SALE VIRGINIA, HENRICO COUNTY SHORT SALE SPECIALIST, CHESTERFIELD COUNTY SHORT SALE SPECIALIST, VIRGINIA SHORT SALE SPECIALIST, MOSELEY SHORT SALE SPECIALIST, VARINA SHORT SALE SPECIALIST, RICHMOND SHORT SALE SPECIALIST, FAIRFAX COUNTY SHORT SALE SPECIALIST, MIDLOTHIAN SHORT SALES, GLEN ALLEN SHORT SALES, CHESTER SHORT SALES, MIDLOTHIAN SHORT SALE SPECIALIST, BRANDERMILL SHORT SALE, HANOVER COUNTY SHORT SALES, RE/MAX SHORT SALE RICHMOND, WOODLAKE SHORT SALE, SHORT SALE PETERSBURG, STOP MY FORECLOSURE VA, STOP MY VIRGINIA FORECLOSURE, STOP VIRGINIA FORECLOSURE NOW, MIDLOTHIAN SHORT SALE REALTOR

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Marcus E. Rice - Principal Broker, CDPE

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Rainmaker
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Joan Cox
Metro Brokers - House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Marcus, VERY good information for homeowners struggling to make their house payments.   Great explanation, and the bottom line --- hire an experienced short sale listing agent to make sure you get it SOLD!  Suggested.

Apr 24, 2012 06:11 AM #1
Rainmaker
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The Marcus Rice Team
Equity First Realty - Richmond, VA
Richmond VA Real Estate Services

Joan Cox,

Thanks for your comments. We have got help as many people as possible.

Apr 24, 2012 07:48 AM #2
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Rainmaker
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