Grand Rapids Short Sale Agents is your source for West Michigan Short Sale information.Water rising on home.

So many are paralyzed with fear at the thought of losing their home.  In a perfect world no one would lose their West Michigan Home but the fact is that people lose jobs, loved ones get hurt, etc., etc.  If you know you can’t afford your Grand Rapids Home, start planning before you are in trouble.  The best thing to do is to call before you start getting behind on the payments.  Grand Rapids Short Sales always have a better chance at success the sooner you start to deal with the inevitable.   Here is more information on West Michigan Short Sales.  Please feel free to call or email if there are any topics not covered here.

 

 

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On December 8, 2012, in Uncategorized, by grshortsale

Where does it go

 

West Michigan Short Sale Agents know the number one key to getting a short sale all the way to closing is the buyer.  As the listing agent, it falls upon us to make sure the selling agent has properly explained to their buyer exactly what expectations they should have with regard to a West Michigan Short Sale.  Even though the buyer has their own agent, it is up to the West Michigan Short Sale Specialist listing the home, too protect their clients interest in completing the short sale.

Patient West Michigan Short Sale BuyerNot all buyers are short sale buyers–in fact many are not!  One of the biggest road blocks to buyers purchasing a West Michigan Short Sale Home is the incredible wait they must endure.  Let’s face it, there is absolutely nothing short about a short sale, except the amount of money the bank will be getting in comparison to how much the seller owes.   From the time an offer is received on a short sale home, to the time the bank gives written approval of a short sale, is on average 90-120 days.  There are certainly some that take less and some that take more time.   It is the experienced West Michigan Short Sale Agent who writes into the purchase agreement that the buyer is under a contractual agreement to give the seller the proper amount of time to gain written short sale acceptance from the bank.

The key is written short sale acceptance.  Many times a bank will verbally tell us we have short sale acceptance only to turn around and take a month to get the written short sale approval.  A good West Michigan Buyers Agent will insist on the written document from the bank before they proceed.  This protects the buyer from spending money on an FHA inspection, for example, only to have the short sale fall through.  The educated short sale buyer will understand these road blocks and not get frustrated and walk away. All these steps take time.

It is up to the short sale specialist to make sure the buyer understands he or she will be earning patience equity.  A recent Realty Trac report stated that most short sales sell for approximately 79% of market value.  The buyers are definitely getting something out of the long wait but if they do not understand the concept, one ends up with a frustrated buyer who is sick of waiting and who walks away from the transaction.

As experienced West Michigan Short Sale Agents, we have made it easy for our selling agents by having their buyers sign a “What To Expect in a West Michigan Short Sale” contract.  The contract clearly explains the process the seller and our team will be doing to have a successful short sale.  The more educated a short sale buyer is the more likely the short sale will successfully reach the closing table.

Look for Part 2 of this series—Qualifying the Right Buyer for a West Michigan Short Sale-Part 2-Earnest Money

 

 

Grand Rapids Short Sale FAQ

On October 25, 2011, in Grand Rapids Short Sale Agents, by grshortsale

Below are some commonly asked questions to help you sort through the maze of avoiding a foreclosure on your West Michigan Home.

Grand Rapids house on teeter with a dollar sign

Grand Rapids Short Sale FAQ-What does under water mean?

What is a Short Sale and what does it have to do with selling my West Michigan Home?
As a Grand Rapids Short Sale Agent, I will try and give you a definition the average person would understand.  Simply put, a short sale is when you sell your home and the bank agrees to take less than what you owe on a home.  It is an alternative to having your West Michigan Home go to foreclosure which is when the bank takes your home.  It is not a loan modification.

Will I have to pay the difference between what is owed and what my West Michigan Home sells for?
In most instances the answer to that question is no, but there are never any guarantees the bank will not come after you at a later date.  The best way to minimize the possibility is to sign a small note but many sellers decide not to even do that because banks are so rarely coming after people.  You know the old saying, “You can’t squeeze  blood out of a turnip”!  Sometimes banks will ask you to sign a note which is discussed further in a post.

What are the costs involved in doing a West Michigan Short?  How much will I have to pay for the short sale?
The cost for us to negotiate the short sale is usually zero.  The banks usually pay most of the fees involved.  Occasionally a seller will need to pay the administration fee charged by the real estate agency but that is minimal.

Can I still do a Greater Grand Rapids Short sale if I have two mortgages?

Absolutely!   You will hear this referred to as a first and a second.  It is a little more complicated but we have done many short sales that involve two loans.

I can still make the payments for a few more months.  Should I wait until I cannot make the payments?
NO . . . .let me say that again . . . DO NOT WAIT UNTIL YOU CAN’T MAKE THE PAYMENTS!!!  If I could, I would put that in flashing lights!!  A successful West Michigan Short Sale always starts before you can’t make the payments.  Each day you get closer to not making payments makes a short sale more difficult to do.  We do not want to race the clock trying to get an offer before a sheriff sale.

What is a sheriff sale?

Simply put, the sheriff sale is when ownership passes from you to another entity, whether it be a bank or an individual. It is very rare for the bank not to buy your home back at sheriff sale.  Once the sheriff sale happens you have been officially foreclosed. HOWEVER, you still have all rights to the home for six more months by Michigan Law. There are some cirucumstances which possession can be accelerated so please call to talk to us if you are at this point.  The best possible thing to do is stay in the home!

If my home has gone to sheriff sale, does that mean Grand Rapids Short Sale agents cannot do a short sale?

No it does not.  You are now in what is called the redemption period. The chances of a successful West Michigan Short Sale have gone down considerably because we are now in a serious race with the clock. We have had many done in the redemption period.  If you only have 3 months left on the redemption period, we will not take your short sale listing.

Is it possible to do a West Michigan Short Sale without damaging my credit?

Absolutely not.  A short sale will damage your credit but it doesn’t do near the damage as a foreclosure or a Deed-in-Lieu.  Banks will not do a short sale until you are behind on your payments.  This does NOT mean you should wait until you are behind to start the process. We want to stay as far away from sheriff sale as possible. More than likely you will have further questions. Please feel free to ask them below but I also encourage you to read my blog as there is a wealth of information there.

 I hope this information will help you decide if you should call us.  Please don’t ignore where you are, because every day that goes by takes away from the possibility of having a successful West Michigan Short Sale.

 

Tami Vroma is a West Michigan Real Estate Agent specializing in several areas including West Michigan Short Sales.  Tami was doing short sales when all other Realtors were refusing to do them.  There is a lot one learns at the school of hard knocks.  To date, Tami has a 97% success rate having only been unsuccessful with two short sales in the last two years.   Tami has done Grand Rapids Short Sales, Caledonia Short Sales, Coopersville Short Sales, Allendale Short Sales, Hudsonville Short Sales, Jenison Short Sales, Grandville Short Sales, Byron Center Short Sales, Rockford Short Sales, Grand Haven Short Sales and Holland Short Sales.

  

 

 

Grand Rapids Short Sales-What documents do I need to gather for my West Michigan Short Sale?

Grand Rapids Short Sales-What Documents do I need?Grand Rapids Short Sales-What documents do I need to gather for my West Michigan Short Sale is a question many people ask. You have decided you don’t want your Grand Rapids Home to Foreclose and have decided a short sale is the way to go. You have chosen an agent who is experienced in doing short sales in the West Michigan and Grand Rapids area. Before you call, many like to gather the documents they will need to do their short sale.

You need to understand that the banks want to know EVERYTHING. They may even ask for your first born—ok I am kidding there but they will want your entire financial history. Selling your Grand Rapids Home at short sale requires the bank to know everything about how you are sitting financially. To give them a clear picture of this, you will need to gather several pertinent documents. Collect the following documents and know you may need to update them regularly.

Last two year of taxes-Signed 1040’s with W2’s and any Extensions

Two months Most Recent Bank Statements

Two months Most Recent Paystubs or Proof of Income (Profit/Loss Statement or Unemployment)

Most recent Mortgage Statement (s)

Correspondence Regarding Mortgage Delinquency

These are the documents you should already have on hand to do your West Michigan Short Sale—all you will need to do is gather the information. For some this is easy because they are extremely organized but for others, this is something they will have to work at.

Our next blog will cover what expenses you need to consider and document in order for the banks to consider your Grand Rapids Short Sale.

Copyright © by Tami Vroma 2011* ALL RIGHTS RESERVED *Grand Rapids Short Sales-What documents do I need to gather for my West Michigan Short Sale? *