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Are you in the market to buy a bank owned home, or short sale in El Dorado Hills or Folsom CA?

Below are comments from one of our clients who purchase a short sale property in El Dorado Hills in 2010.

Buying a Short Sale – a Customer Perspective.

In today's market selecting a Real Estate Agent is like selecting a doctor. You wouldn't choose a family doctor when you need heart surgery, you would choose a specialist. Same with short sales and foreclosures, you can't just use any Real Estate Agent, you have to choose a specialist. That's why I chose Callie Mirsky of RE/MAX Gold in El Dorado Hills. Ask anyone for advice on short sales and the response will be "Stay away and they take forever to close" and I would say the same unless your agent specializes in these transactions like Callie.

The short sale process is a journey, understanding the market dynamics and human nature is key. From a market perspective you have to find a home you love at a price you are willing to pay and from a human nature perspective, you have to come to terms with seeing properties which have been thrashed by their owners. Walking into homes that have been stripped of carpets, cabinets, appliances, toilets, light fixtures, and just about anything of value is a lesson in human nature. You also have to get past the destruction of property, kicked in doors/walls, garbage and waste throughout the property.

Why is it important to get past these human factors, because in many instances these are the same people you will be entering into a contract with for one of the most important purchases of your life. If you do make an offer and plunk down a deposit you want to have reasonable assurance that the home will close and the current owner will not treat you like they treated their home. Again this is why you need a professional team behind you who can weed out the undesirables and steer you away from situations destined to end in disappoint, frustration, or worse.

Then once you find that special property and you have a signed contract, then there's the loan and all the new regulations that are supposedly there to protect the consumer you have to deal with. All these regulations did was slow down the process and in some cases jeopardize the closing. Luckily I had Callie to bring sanity to the process through her understanding of short sales. I'm sure I would have walked away from the deal several times had it not been for her guidance.

Also in my case the Home Inspection included the fact that the property was in a short sale, it also mentioned the typical length of time a short sale takes to close in the immediate area. Callie actually closed my home 50% faster than the typical short sale in my development and this was with a first and second loan outstanding on the property. My property closed while other properties just sat with the status of short sale (pending) for what seemed like forever.

So I would give the same advice as many do about short sales, stay away from short sales and foreclosures, unless you have an experienced professional like Callie Mirsky and the Connie Barnes team working for you.

Robert B Goldsand

Back to Short Sales

If you are struggling with your mortgage payments or facing foreclosure you may feel overwhelmed and frustrated. Many homeowners simply don't know what to do or where to go for assistance, and they feel too helpless to take action.

Here are a few tips to get you pointed in the right direction.

DO

  • TAKE ACTION AND BE PREPARED to talk to your financial institution. We can provide you with a financial checklist to help you prepare to discuss your options.
  • SPEAK WITH YOUR LENDER about available loan programs that may help reduce your monthly mortgage payment.
  • CONSULT with a Real Estate Attorney about your situation.
  • CONSULT with a Certified Public Accountant (CPA) regarding tax implications.
  • CONSULT with a Realtor who has the experience and the credentials to effectively facilitate the short sale process with your lender at no charge to you. Connie Barnes sells on average 1 home each week just in El Dorado Hills.
  • PLAN AHEAD Ask us about programs that help minimize the amount of time to get you ready to buy another home.

DON'T

  • WALK AWAY! There may be serious long-term negative credit, tax, legal and even future employment ramifications.
  • STOP making your payments (if possible) without advice from a real estate attorney
  • PAY anyone in advance who claims that they can work out a loan modification or a short sale with your lender. It's against the law.
  • HIRE an inexperienced real estate agent to assist you in the short sale process. You have only one chance to get it right and agents that are not up to speed on short sales only drag out the process and have a much higher failure rate.
  • WAIT until the last minute to take action. The sooner you act, the better chance you have in avoiding foreclosure through a short sale.
  • WORRY about the perception of a short sale. Today, millions of homeowners are in the same situation and you are not alone. In most cases, your lender would much rather negotiate a short sale with you rather than pay the costs of eviction and foreclosure.