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Our Team is Trained and Certified to help you Sell or Buy a
Short Sale or REO (Foreclosure) Property
CDPE (Certified Distressed Property Expert)
REO Certified by Harris University
Short Sale Certified by Harris University
ABR (Accredited Buyers Agent)
GRI (Graduate Realtor Institute)
Sellers... if you are falling behind or just about to on your mortgage payments...
Don't just let the Bank Foreclose without speaking to us first!
You may have options including...Refinancing your loan, a Loan Modification or a Short Sale.
Some of the Benefits of Selling a home as a Short Sale vs Foreclosure
|
Issue
|
Foreclosure
|
Successful Short Sale
|
|
Current
Employment
|
Employers have a right to
Check credit if the employee
Is in a sensitive position. They
Can be reassigned or terminated
In the case of foreclosure.
|
Not a challenge to employment
A short sale is not reported on a credit
Report.
|
|
Future
Employment
|
This is challenging for employment.
Many employers check credit on
Applicants, the foreclosure is one of the
Most detrimental credit items.
|
Not a challenge to employment as it is
Not reported on a credit report.
|
|
Security
Clearances
|
Outside of a conviction of a serious
Misdemeanor or felony a foreclosure is
The most challenging issue against a
Security clearance. In many cases if a
Client Is in a position that requires a security clearance, clearance will be
revoked and a position will be terminated
|
A Short Sale does not challenge most
Security clearances on its own.
|
|
Credit History
|
A Foreclosure stays on a person’s credit
History for 10 years or more.
|
Not Reported on credit history
No specific reporting item for “Short Sale”
on a loan, typically it is reported as “paid
in full, settled”.
|
|
Credit Score
|
Score is affected typically for over 3 years
And is lowered from 250 to over 300
points.
|
Score is affected as little as 12 to 18 mos.
As little as 50 points as long as all other
Payments are being made. Only late
Payments will show & after sale “paid in
Full or negotiated”.
|
|
Deficiency
Judgment
|
In states that are deficiencies in 100% of
Foreclosures the bank has the right to
pursue a judgment.
|
It is possible to convince the lender to
Give up the right to pursuit a
deficiency judgment against the borrower in some successful short sales.
|
|
Deficiency
Judgment
Amount
|
Typically a much higher amount due to the home going through an REO
process if it does not sell at an auction
(which usually also ends up being a lower
sale price), and longer time to sell in a
declining market.
|
If a Short Sale is properly managed the
Home is sold much closer to market value.
In most cases it is a lower deficiency
Because of the lower loss to the lender.
|
|
Future Loan
w/any
company
|
On any 1003 application a prospective
Borrower will have to answer “Yes” to
“Have you had property foreclosed upon
Or given deed in lieu thereof in the last 7
Years?” This will effect rates.
|
There are no questions regarding a
Short Sale.
|
|
Future Fannie
Mae Loan –
Primary
Residence
|
If a homeowner loses a home to foreclosure they are ineligible for a Fannie Mae backed mortgage for 5 years.
|
After 2 years of a successfully negotiated and closed short sale the homeowner is
Eligible for a Fannie Mae backed mortgage.
|
|
Future
FannieMae
Loan –
Non Primary
|
An investor that loses an investment
Property due to foreclosure is ineligible for a Fannie Mae backed investment mortgage for 7 years.
|
After 2 years of a successful negotiated
And closed short sale the investor will be eligible for an investment mortgage backed by Fannie Mae after 2 years.
|
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It includes featured articles, classified ads, real estate updates, market trends and more!
Broker Associate, CDPE,
REO Certified, Short Sale Certified,ABR, GRI
Keller Williams Success Realty
600 Hart Road, Suite 105
Barrington, IL 60010
Phone: (847) 620-5815
Fax: (847) 382-0888
Julie@HomesByJulieAnne.com
www.HomesByJulieAnne.com
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