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When considering short sales many people don't understand the benefits. Some benefits are obvious, while other benefits are not so obvious.
So what are the benefits?
First and foremost short sales benefit people in foreclosure. If done properly, and I stress "properly", homeowners benefit from not having a foreclosure on their record. Yes their credit will be damaged in the short term, but a responsible homeowner can overcome this damage in a relatively short period of time. Having a foreclosure on their record will be more devastating in the long term compared to a successful short sale. Helping a family facing foreclosure, so they can essentially start over, is very rewarding.
Another benefit is You are contributing with the turnaround of the economy. Millions of homes are or will be faceing foreclosure. The housing bubble that started in the early 2000s and ended in 2007 massively inflated the true market value of homes. As with all economical bubbles they burst, which is just the marketplace correcting itself to reflect the real value of a product or service. The economy won't fully recover until the housing market clears itself of overpriced houses. With each successful short sale we are one step closer to clearing the market of overvalued houses.
You can make money performing short sale transactions. Yes it is legal to help a homeowner short sale their house before they are foreclosed. But you must do it the correct way per the government regulations and lender guidelines. Don't let this scare you, especially when it can be done legally and ethically. There is a correct way and numerous wrong ways to short sale a house, make sure you are doing it the correct way. Once you learn the correct way, your potential to help people and make money is almost unlimited.
If any of the following interests you;
Consider successful short sales as an opportunity to add value in your life.
So what is the Catch?
Before you get too excited, there are some realities to consider prior to making this decision. First, successful short sales take a lot of work and effort. "Short sales ain't easy."
Consider some of the required actions in a successful short sale.
Discouraged Yet? Obviously successful short sales do require effort, attention to detail, planning, insights, knowledge and experience.
Still want to do short sales? You can certainly do short sales yourself, but you will be greatly constrained on building your wealth and having time for other more enjoyable things in life.
I'm Still Interested If you are constrained by time, want a way to help more homeowners, or want to exponentially increase your wealth consider partnering with an organization that performs 75% of the work for you.
Considerations when selecting a partner for your short sale deals (Choose wisely)
Training is very important to increase your success and decrease your mistakes.
Key Services a partner should offer and you absolutely need to leverage.
My interest is peaked - I'm ready for the Sales Pitch
My name is Hunter Paschall and to be honest short sales are working. I've been closing short sale deals for 15 years and have seen many changes in the real estate industry in the last 5 years. I've seen changes in the sellers, buyers, banks, and government regulations. To survive in this business, I had to stay on top on the latest changes especially with the banks and government regulations. These fears and objections are powerful forces inside of you holding you back. Most folks need help to overcome these powerful forces. You don't need to feel embarrassed or reluctant. Don't make this another year of feeling regretful you didn't take action. I can help you be successful creating another stream of income for you and your family by attending my next event on
January 28-29, 2012 in Lake Mary Florida.
Short Sales - What's your next move?When deciding to move forward in real estate and short sales you have a few options.
Short Sales - Choose your Partner WiselyYou must select your partner wisely. You want to find a partner who most importantly has a program and team that cares about you and your success. A partner who truly cares about you is the most important quality to look for. Sure I can tell you about my experience and knowledge in short sales but that is minor compared to having someone you can trust.
Take Action Now and Jump Start 2012!2012 is just beginning so get a Jump Start on your success. I scheduled the event early in the year to Jump Start your Wealth and Health in 2012.
Do you want to overcome your fears and objections in 2012?
Do you want to make a change and have a successful 2012? Do you want to be a do'er and not a dreamer in 2012? Act NOW and overcome your Challenges holding you back. You must register to attend. Do not show up unannounced. You will not get in as there is only a limited space and partnerships available. Click here - Unique Short Sale Training Event Details
Looking forward to see you there! Hunter Paschall
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Wow! What a great Interductorty Meeting we had today. We had a lot of comments with ideas and questions about Nextage and the opportunities it provides. If you missed this meeting, don't worry. We'll be having more like it soon. Here are some of the questions
How do I get started? How do I as a new agent benefit from Nextage? What does it cost to sign up with Nextage? How can investors get involved in this? How old is the company? Do you provide us with listings? Do you help us with the short sales? Are short sales all we will be doing? Do you help us with training? Do you help us with negotiations? These questions and more will be answered at our next introduction meeting. So be sure to be there!
Short Sale Dirty Talk
The FEDS are on the move again. Is it a good thing or a bad thing that more banks may close their doors due to their lending practices?
You decide....
I say look for cash buyers' verses new loans for your deals.
If you can't get cash, here are the steps YOU MUST take to get your deal done in timely to close.
1) Before your contract is signed make sure you have full contact with the buyer's lender.
2) Make sure you follow up on the inspection timeline.
3) Make sure the appraisal has been ordered. (all this within 7-10 days)
4) Contact your title company and ask if the lender has contacted them for title work.
5) Follow up with the Lender, Buyer's Agent (if there is one) and Title Company on a weekly basis.
6) If you can, get the buyers contact information. (Hint: tell the agent the bank is requesting it)
7) After the title company has been contacted by the lender ask your title company for the processor's contact information. (A must)
8) All communication should be by phone and followed up by e-mail with all parties involved. (Buyer's Agent, Lender, Title Company)
9) If you are doing short sales as we are, you will want to schedule the buyers closing a min of 1 week before the payoff letter is due.
10) Make sure you get a copy of the HUD1 before you even think about closing. This is a prelim HUD1 that you request from the Title Company when you forward them the contract that you have received from your buyer. (Once you have the HUD1, review it thoroughly)
Take a look at this article that just came out.
For those of you who may have never heard of the FHFA (Federal Housing Finance Agency) before, it is the Federal entity which oversees and regulates the mortgage behemoths known as Fannie Mae (FNMA) and Freddie Mac (FHLMC). The tally for delinquent mortgages is rising by the millions and FHFA is looking to offload its losses onto the financial institutions that sold them to Fannie and Freddie. Now, they have enlisted the services of some high powered attorneys to assist with the process.
For example, FHFA recently retained the firm of Quinn Emanuel (QE) to jump start its investigations. Using its expertise in business and banking litigations, QE has already subpoenaed JP Morgan Chase and has put Bank of America on notice for $47 billion dollars in poorly serviced loans. This investigation is broad ranging, as the FHFA is not solely pursuing institutions that sold mortgages to Fannie Mae and Freddie Mac, but also private label financiers who eventually packaged and sold mortgage backed securities to investors on Wall Street. As it stands today, banks and mortgage companies could be forced to buyback over $179 billion in soured mortgage products. To date, Fannie and Freddie have forced banks to repurchase over $6 billion in mortgages, and an additional $16 billion will be forced back on the banks in the next 12 months. During the boom years of 2006 and 2007, Fannie/Freddie purchased over $200 billion in subprime loans, of which the majority have gone sour. The FHFA is seeking to force repurchases on these mortgages too.
As one could assume, the banks don't want to buy back any mortgages. Accordingly, they are pushing back on FHFA/FHMLC/FNMA's buyback requests with fervor. Bank of America's chief has gone on record stating that "we will diligently fight this." Others have retained the best attorneys that money can buy to defend them tooth and nail. The unfortunate issue is that many of the buyback requests are legitimate. As a whole, the majority of these banks signed representations and warranties affirming that if any fraudulent documentation or faulty underwriting can be found in their files, the bank agrees to buy the loans back. Banks look forward to earning NII (net interest income) and not losing due to NIE (net interest expense). As repurchases mount, banks have to raise their loan loss provision, which accordingly drives down their stock price. This also leads to a need for additional capital. If the capital can't be raised, a bank can fold.
Indeed, the scariest part is how buybacks travel through the mortgage food chain. Just as many banks signed repurchase agreements with representations and warranties regarding the buyback of loans with fraudulent documentation, mortgage brokers, bankers and other forms of 'direct lenders' signed them as well. Accordingly, if Bank of America, Chase, Wells, or Citi is forced to buyback mortgages, they may seek their own remedies by forcing buybacks onto mortgage brokers, banks and direct lenders who originated the loans. I haven't personally experienced this myself, but I know mortgage brokers who were forced to buyback mortgages or go bankrupt. I don't know many people with an average of $350,000 lying around (per loan) to reimburse a lender.
As this mortgage mess continues to snowball, I see the buyback issue getting bigger while sucking in more people involved in the mortgage origination process. Ultimately, it may take us years to recover as Fannie and Freddie struggle to repay the American taxpayer the $148 billion that was borrowed to keep both entities afloat by pushing bad loans back down on the banks that originated them in the first place. As the loss provisions rise and the stock prices fall, more banks will push their junk onto mortgage bankers, brokers, and other direct lenders by enforcing their own representations and warranties. The smallest of these guys will file BK, Fannie and Freddie will continue to be propped up on the back of the tax payer, while banks will suffer losses and in many cases closes their doors. Oh, what a mess one weaves when they originate a fraudulent loan in order to deceive!
Published on Wednesday 2010
I have come to the realization that everyone in this market needs a Paradigm Shift. What is a Paradigm Shift you may ask? It is looking at something and creating a whole different way of completing a task or project. I have been creating Paradigm Shifts all my life!
Like just as simple as a statement "What comes out of your mouth goes into your pocket" or taking a project and shifting the thought pattern or action pattern a little and getting huge results that were opposite of what one would think would happen.
Well I have Done It Again!!! I have combined my short sale training and my short sale house buying business with a Brokerage Company called Nextage Diversified Realty. So now I have a "Short Sale in a Box, One Stop Shop."
You can learn from me or partner with me. You can use my negotiating team to do deals. You can use my Transactional Funding www.Funds4YourShortSale.com on deals if you are doing back to back closings as an investor or an agent when you learn my system. Whether you are a Realtor, Broker or an Investor, you can use my system to help you succeed in this down market.
I am looking for the movers and shakers of this industry, Realtors, Brokers, and Investors because I have combined them all to blast through 2011 and finish 2010 with a bang!!
I do not care if you are broke, bad credit or thinking about being broke or having bad credit...I want to show you a new Paradigm Shift that will lift you up and Explode your Income in this last quarter and through next year!
So join me and my staff as we plow through the year and come out on top of this so called market shift or is it just a Paradigm Shift for more income to come to you...Get on board today!
PS: This is the time when lenders are dumping the defaulted properties to get them off the books in 2010
Sincerely,
Hunter Paschall
Nextage Diversified Realty
407-772-2274
www.NextageDiversifiedRealty.com
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Thank your customer, tell them how valuable they are to you, but don't go overboard. Insincerity is easy to spot.
You may find a lot of the Sellers you are trying to contact or Sellers that have contacted you probably no longer live in the Pre-Foreclosed property.
These distressed home owners are usually down to their last option, have already given up hope and just walked away from the home.
They are expecting the bank to take their home and their credit to be tarnished.
These people need to know they can still be helped by doing a Short Sale, which is one of the most effective ways for discounting loans in real estate.
It is definitely harder to track down the Sellers of these Vacant Properties, but you can try to find their contact information the following ways:
1. Go to the house and leave a Yellow letter in the door.
2. Go to the neighbors and find out where the Homeowner moved
3. Locate telephone numbers on the free telephone search websites
4. Contact a skip tracer to obtain the telephone number of the Homeowner and their new address, i.e. www.findtheseller.com
It is to your advantage to track down these Sellers because:
1. Most of the time the Homeowner does want to save their credit
2. Many investors do not track vacant homes giving you less competition
3. Selling vacant houses is easier because you are able to allow your new buyers instant access
Doing Short Sales can create huge investment opportunities and you are helping a homeowner in distress. How great is that?
Short Sale Training
Get Info Here!
To Your Success,
Hunter
407-772-2274
Get the personal mentoring you need from a Short Sale expert that will give you a simple streamlined system to put money in your bank account. Contact me today! NextageDiversifiedRealty.com
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