We got calls from two appraisers for buyers of our Short Sale listings....and both appraisers made the erroneous assumption that the properties were vacant.
One of the advantages to short sale seller is that they are able to remain in their home until it closes. While there are circumstances where sellers have moved...to find another job...to move in with relatives who can provide childcare, etc. It is not a requirement that a Short Sale Seller Move out when the property is listed. You would think an appraiser would not make that assumption. So you know that if an appraiser does not understand short sales...there is still a lot of confusion on the part of the general public.
If you are unable to pay your mortgage for reasons of hardship...divorce, unemployment, serious illness, death of a spouse...or some combination of problems...call a realtor who has expertise in Short Sales.. A Short Sale does not mean immediately vacating the property or eviction by the lender...to learn all the advantages of short sales...call a realtor who is a CDPE (Certified Distressed Property Expert). Let them examine your situation and discuss your alternatives.
- Do NOT borrow your mortgage payment from relatives
- Do NOT use your Home Equity loan to make a mortgage payment
- Do NOT pay your mortgage payment with a credit card
DO Call someone who can help you...the credit you save will be your own.
Thank you for the information, I really like the sharing on activerain. Wishing you the best in 2009.
You are most welcome Scott...the more you read, the more you know !
This happens because people are still not familiar with short sales (as you mentioned). In the past, Short Sales were typically caused because the house was vacant from the homeowner ditching the property and left the lender to sell it. Today's environment is much different. With today's trends, a buyer/seller really needs to work with someone that specializes in Short Sales and not just 'dabbles' in it. Not only because they need to know how to price it, etc. but because they need to know how to work with the lender and know what to expect. Nothing more frustrating to a New Lender than working with a Realtor that does not know the process. Of course, I am sure it is frustrating to the Homeowner as well. :-)
You are right John...lots of education needed everywhere....lenders, buyers, sellers, realtors, appraisers...
I agree with you. There are still so many that are mis informed on short sales. Many people including agents seem to think that the bank owns the property. It is still the borrowers home after all. The bank doesn't own the property until they foreclose on the property.
Sooooo many assumptions and sooo many people afraid to admit what they don't know...yicks !