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Kenden Post, CDPE, SFR, ePro

What is an acceptable hardship for a short sale

To quality for a short sale is different that from a traditional listing. The main difference is in order for the bank to even consider a short sale, the homeowner must be able to document the financial hardship. This is done through documentation that the bank will require along with a hardship letter that is provided by the homeowner explaining the hardship and how they got to that point.

A hardship is a condition that is difficult to endure;suffering;deprivation;oppression; or an instance or cause of this;something hard to bear, as a deprivation, lack of comfort, or constant toil or danger (Ref:Dictionary.com). For a homeowner this is a material change in their financial circumstances that affect the ability of the homeowner to keep current or to pay their mortgage. This hardship could be something that is in the near future (divorce, job loss, loss of income, etc.).

A seller must have a hardship in order to qualify for a short sale. A hardship is not a homeowner is mad that they bought their home 3 years ago, the identical home next door just sold for substantially less than what you paid for your home, and you want to walk away. Doesn't work that way. You can still list the home as a traditional listing and sell the home!

A hardship could include the following;

  • loss of job
  • business failure
  • damage to property
  • death of spouse or family member
  • severe illness
  • inheritance
  • divorce
  • mandatory job relocation
  • medical bills
  • military service
  • mortgage resets
  • insurance, tax, association increases
  • reduced income
  • separation for spouse
  • too much debt
  • incarceration

The lender will look for in your hardship letter a circumstance that created your financial hardship. You have to be able to prove this. Your circumstance could still qualify you for a hardship if it is not on the above list. Keep in mind, it has to cause a financial hardship on you to qualify for a short sale.

Kenden Post-CDPE, ePro

Coldwell Banker Burnet-Apple Valley, Minnesota

www.OurFirstMinnesotaHome.com

Kenden@KendenPost.com

(o)952-997-1960, (f)952-997-8810, (c)612-310-6304

Do you know anyone facing foreclosure? You do have options. We are the short sale experts.


Free reports at www.YourMnShortSaleExpert.com.

Short sale information can be found at http://MnShortSalesExpert.com

First time home buyers be sure to visit www.OurFirstMinnesotaHome.com to register for your Home Sweet Home Buyers ProgramTM.

IMF monthly mortgage rate resets through 2015

IMF Mortgtage Resets

This chart shows the mortgage resets until 2015. It shows the subprime mortgages dominate the market through from 2007-2009. This is where the foreclosures and defaults are right now. If you look at the years 2010/11 it shows the alternative options mortgages (option ARM's) will dominate. The majority of these loans will not be able to be refinanced due to homeowners selecting the minimum payment (negative amortization) and will be upside down when the loan resets. We are starting to see these properties come on the market now.

Banks have also been stockpiling their bank owned properties waiting to see what the current administration would do concerning bad loans or mortgages. Doesn't look like they will be able to dump these loans on the taxpayer (as of today). December 09 we will start to see the bank owned properties come back on the market in big numbers. Unfortunately, this is going to affect the local markets driving down home prices.

Kenden Post-CDPE, ePro

Coldwell Banker Burnet-Apple Valley, Minnesota

www.OurFirstMinnesotaHome.com

Kenden@KendenPost.com

(o)952-997-1960, (f)952-997-8810, (c)612-310-6304

Do you know anyone facing foreclosure? You do have options. We are the short sale experts.


Free reports at www.YourMnShortSaleExpert.com.

Short sale information can be found at http://MnShortSalesExpert.com

First time home buyers be sure to visit www.OurFirstMinnesotaHome.com to register for your Home Sweet Home Buyers ProgramTM.

What is a distressed property

A distressed property can be;

  • a home or property in poor physical condition
  • a home or property that is in or going to be in default on the mortgage or in the foreclosure process started by the lender
  • a home or property that the current value of the home is less than what is owed against the property
  • a homeowner that has a financial hardship that is creating problems with finances

Kenden Post-CDPE, ePro

Coldwell Banker Burnet-Apple Valley, Minnesota

www.OurFirstMinnesotaHome.com

Kenden@KendenPost.com

(o)952-997-1960, (f)952-997-8810, (c)612-310-6304

Do you know anyone facing foreclosure? You do have options. We are the short sale experts.


Free reports at www.YourMnShortSaleExpert.com.

Short sale information can be found at http://MnShortSalesExpert.com

First time home buyers be sure to visit www.OurFirstMinnesotaHome.com to register for your Home Sweet Home Buyers ProgramTM.

Elko New Market Minnesota September 09 Homes Sales Data

Here are the final numbers for Elko New Market Minnesota September 2009 home sales;

Elko New Markt, Minnesota Sept. Sept. Sept. Entire Year Entire Year Entire Year
Scott County, Minnesota 2008 2009 Change 2008 2009 Change
New listings 25 15 -40 199 153 -23.1
Closed Sales 14 5 -64.3 82 83 1.2
Median Sales Price 229450 228000 -0.6 239000 229500 -4
Avg. Sales Price 229,812 236000 2.7 245617 22499 -9
% of orginal list pirce received 95 90.3 -4.5 94 92.1 -2
Avg. Days of Market 116 106 -9.2 133 105 -21.2
Single-family detached inventory 57 49 14
Townhouse-condo inventory 18 11 -38.9

If you have any questions about this information on home sales for Elko New Market, Minnesota please feel free to contact me.

Kenden Post-CDPE, ePro

Coldwell Banker Burnet-Apple Valley, Minnesota

www.OurFirstMinnesotaHome.com

Kenden@KendenPost.com

(o)952-997-1960, (f)952-997-8810, (c)612-310-6304

Statistics courtesy of Southern Twin Cities Association of Realtors

Do you know anyone facing foreclosure? You do have options. We are the short sale experts.


Free reports at www.YourMnShortSaleExpert.com.

Short sale information can be found at www.MnShortSalesExpert.com

First time home buyers be sure to visit www.OurFirstMinnesotaHome.com to register for your Home Sweet Home Buyers ProgramTM.

Shakopee Minnesota June 09 Homes Sales Data

Here are the final numbers for Shakopee, MN. September 2009 home sales;

Shakopee, Minnesota Sept. Sept. Sept. Entire Year Entire Year Entire Year
Scott County, Minnesota 2008 2009   Change 2008 2009   Change
New listings 96 101 5.2 1155 1057 -8.5
Closed Sales 66 69 4.5 427 510 19.4
Median Sales Price 189925 165000 -13.1 202500 166000 -18
Avg. Sales Price 243,074 189650 -22 232863 193762 -16.8
% of orginal list pirce received 95 91.8 -3.1 92.9 92.7 -0.2
Avg. Days of Market  143 158 10.4 140 140 -0.5
Single-family detached inventory 228 193 -15.4      
Townhouse-condo inventory 194 129 -33.5      

 

If you have any questions about this information on home sales for Shakopee, Minnesota please feel free to contact me.

Kenden Post-CDPE, ePro

Coldwell Banker Burnet-Apple Valley, Minnesota

www.OurFirstMinnesotaHome.com

Kenden@KendenPost.com

(o)952-997-1960, (f)952-997-8810, (c)612-310-6304       

Statistics courtesy of Southern Twin Cities Association of Realtors

Do you know anyone facing foreclosure? You do have options.  We are the short sale experts.

www.MnShortSalesExpert.com

Free reports at www.YourMnShortSaleExpert.com.

 

First time home buyers be sure to visit www.OurFirstMinnesotaHome.com to register for your Home Sweet Home Buyers ProgramTM.