NAR Pushes Bill for Quicker Response on Short Sales

NAR pushes bill for quicker response on Short Sales

Inside a professional Realtor's mind on Short Sales...

Short sales have been on the rise in the real estate marketplace over the last couple of years. The biggest problem that we Realtors have faced is that the banks have not been prepared to handle these transactions efficiently. Now, when I say "we Realtors", understand that "we Realtors" are in the business of serving buyers and sellers. Without consistency and standards, it is nearly impossible to assist our clients in the expert manner that they deserve. Though most clients understand that certain things are beyond our professional control, we are continuously striving to better our industry and so our ability to serve our clients (whether they know it or not).

There have been many improvements to the Short Sale process as of late, but the biggest problem still remains... response time.

Why is that a problem?

Well, when a seller is in a position to NEED to sell, time is not exactly on their side. More often than not, sellers who seek a Short Sale are doing so in an effort to avoid a forclosure. What ends up happening is that the banks take too long to approve each aspect of the transaction. The main example being the offer to purchase. It is not unusual for lenders to recieve an offer to purchase and not respond to it for 6 months or longer. As you can imagine, this results in the frustration of both buyers and sellers. Many buyers walk away simply over the lack of any kind of timely response.

NAR (The National Association of Realtors) represents over 1.1 million members and is by far the loudest "voice of real estate". It's members, myself included, can tell you how important it becomes to sellers that they be able to sell their properties in these already stresfull situations. Homeowners may now find that relief could be on its' way thanks to the efforts of our National Association. The legislation, H.R. 6133, “Prompt Decision for Qualification of Short Sale Act of 2010,” was offered yesterday in Congress by U.S. Reps. Robert Andrews (D-N.J.) and Tom Rooney (R-Fla.). The bill would require lenders to respond to consumer short sale requests within 45 days... something Realtors have been advocating for their clients for quite some time.

I'll let you know how it turns out...

Natalie Flaming
Realtor - Broker Associate
The VIP Team
Metro First Realty
Direct: 405.412.5452
www.TheVIPofOKC.com

Fannie Mae launches New Website

Fannie Mae has launched a new website that explains in lamens terms (or so they say) the alternatives to foreclosure and how to pursue those alternatives.

KnowYourOptions.com™, is a new consumer education Web site that outlines the choices available to homeowners who are struggling with their mortgage payments, and provides guidance on how they can contact and work with their mortgage company to find solutions.

They say the online resource will offer reliable and easy-to-understand information in both English and Spanish, and expands on Fannie Mae's ongoing efforts to help struggling borrowers find alternatives to foreclosure. Key features of the website include:

-an interactive Options Finder to help homeowners identify options that might be right for their situation;
-calculators to help borrowers understand how many of the options work, including refinance, repayment, forbearance, and modification;
-videos featuring real homeowners discussing how they received help and housing counselors providing advice;
-a virtual assistant to walk homeowners through key areas of the site; and
-next steps and helpful forms, including a financial checklist and contact log to help borrowers be prepared when contacting their mortgage company or housing counselor (The VIP Team).

The VIP Team provides homeowners who are having trouble paying or recognize they can no longer afford their mortgages with detailed information on:

-refinancing,
-repayment plans,
-forbearance,
-loan modifications,
-short sales,
-deeds-in-lieu; and more.

Please do not let foreclosure happen to you! It will ruin your credit! You are not alone. In this economy, thousands of families are struggling. Don't put it off another day. Explore your options by consulting with The VIP Team today!

For more information or to consult a real estate expert today about your alternatives to forclosure, call or email us directly. As always, your privacy is guaranteed.

Natalie Flaming
Reator - Broker Associate
The VIP Team
Metro First Realty
Direct: 405.412.5452
Email: Natalie@TheVIPofOKC.com
www.TheVIPofOKC.com

The scoop on Short Sales

Sometimes a homeowner may need to sell their home because they are relocating, their financial status has changed and they can no longer afford their home, or for other various reasons. Short sales can be an alternative to foreclosure. In the case of a short sale, the seller is allowed to sell the home for less than they owe on it because the bank has agreed to take a certain loss on their loan. The stipulation; however, is that the bank has final say on the terms of the sale. So, when a buyer makes an offer to purchase, not only will the seller have to accept the offer but the bank will as well. In these economic times, many banks are not prepared to handle them. Sure short sales have been around for a long time, but these days there are unprecidented amounts of owners seeking this remedy. The average time it can take just to get a bank to accept an offer for purchase ranges from 3 to 6 months, and sometimes even longer. Then, of course, a buyer will still need to go through the process of inspections, any repair requests, etc. Any changes to the contract that affect the bottom line will then also need to be approved by the bank. It can be a very long and difficult process. For those who are willing to wait it out, most times it can result in a staisfying investment. Whether buying or selling, navigating through a successful short sale is no easy task. This is definately a scenario in which you need an experienced Realtor capable of handling all of the paperwork and communication to get the job done. If you are considering a short sale, send us an email or give us a call. We'll be happy to walk you through the process and answer any questions you may have.

The VIP Team
Natalie Flaming
Realtor - Broker Associate
Metro First Realty
405.412.5452
www.TheVIPofOKC.com