If you are reading this post, I'd recommend that you read Part I of this series here.
OK, now that you are caught up on the purpose of this series, you are probably wondering if I have it "out" for Loss Mitigation companies.
To answer, no, I don't have it "out" for Loss Mitigation companies...or any other company for that matter. On the contrary, there are times when I think engaging the services of a Loss Mitigation company will benefit all parties involved.
However, I do strongly believe that when one is considering hiring a company or individual for a particular service (such as negotiating the loss a bank will take on the sale of a home), that there are questions that one should ask (and get the answers to, in writing)...especially when the success or failure of that company could have a life lasting effect on you and your credit.
Here are 11 Questions that may be helpful to Sellers who are considering hiring a Loss Mitigation company:
While this list is not nearly as comprehensive as it could be, it is a good place to start. In times such as these, knowing what services are being provided and what those services will cost (and who will pay them) is critical.
As a full-time Real Estate agent in Central Florida, I caution Sellers to make sure that they know the answers to these questions (and others) before hiring a Loss Mitigation company...or the Real Estate agent who told them that they were in "partnership" with one.
In closing, short sales have been in the marketplace for years...and have been successfully negotiated by attorneys and Real Estate agents long before Loss Mitigation companies became a household name.
Stay tuned for Part III of this series which will address "What Buyers & Their Agents Need to Know When a Loss Mitigation Company is Involved"
For more information on selling your Seminole or Orange County, FL home as a short sale or buying a Seminole or Orange County, FL short sale home, call or text me at (321) 377-0157 or email me at LaShawn@LaShawnNorden.com
Advocating for Sellers and Buyers is my passion...
LaShawn Norden, PA, REALTOR, RE/MAX Central Realty, (321) 377-0157, LaShawn@LaShawnNorden.com, www.LaShawnNorden.com
As a mother of two boys who attend Seminole County Public Schools in Central Florida, I too am concerned about how budget cuts in the County will effect the level of service and education that my children will receive.
In talking with another parent, I was told about this very important rally, which will be held next week to address this very topic. The below Press Release has been published by the Seminole County Coucil of PTA's to encourage parents and residents to make a stand on how important education is and what should be done to preserve it through these challenging economic times.
Please pass this message along to everyone you know...
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LaShawn Norden, PA, REALTOR, RE/MAX Central Realty & 35 year Seminole County Native. (321) 377-0157, LaShawn@LaShawnNorden.com, www.LaShawnNorden.com
According to recent statistics shared by David Johnson, Property Appraiser for Seminole County, Florida, Sellers need to know that their property may no longer be worth what they were hoping.
After reviewing values for all residential properties within the County, Mr. Johnson has revealed that home prices in Seminole County are now valued at the same price they were in 2004, plus a moderate 3-4% per year appreciation increase.
While many Sellers might have a hard time accepting this fact, below is a six year history of the median sales price for single family homes in Seminole County including the number of closed sales:
| YEAR | Median Price | (+)/(-) in Value | Closed Sales | |
| 2004 | $188,000 | 10,656 | ||
| 2005 | $240,000 | $52,000.00 | 9200 | |
| 2006 | $270,000 | $30,000.00 | 8567 | |
| 2007 | $260,000 | $(10,000.00) | 5668 | |
| 2008 | $230,000 | $(30,000.00) | 3316 | |
| 2008* | $217,000 | $(13,000.00) | 604 | |
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Change in value over last five years = |
$29,000.00 | 3% per year average | ||
| * Last Quarter of 2008 |
Regardless of what went wrong and how it went wrong, homeowners who are considering selling their home today who are attached to a inflated appreciation value from 2005 and 2006, need to know that those values are no longer realistic.
For the purposes of simplicity, Mr. Johnson has stated that while there are some communities that may be "exceptions" to the above findings, the market value of the majority of homes in Seminole County should now be calculated by determining what their 2004 value was, and then adjusting that price by 3-4% per year for appreciation.
For example, if your home was purchased for $300,000 in 2004, today that same home should be worth between $345,000 and $360,000 (as a general rule).
While one may not get "rich" by selling today, it is expected that Seminole County will most likely be appreciating at this same rate each year for many years to come! (Which really isn't a bad return on any investment when you think about it!)
**Please note that the above recommendation is a general guideline for determining value and does not take into consideration additional factors such as home improvements and/or condition, supply & demand within a particular neighborhood, location, school district or price range**
For a complimentary market analysis on the value of your Seminole County home, please contact me via phone, text or email. As a full-time REALTOR who interacts with Buyers, Sellers, Lenders, Appraisers and Banks on a daily basis, I'll put my education to work for you!
LaShawn Norden, PA, REALTOR, RE/MAX Central Realty, (321) 377-0157, LaShawn@LaShawnNorden.com
Over the last year or more, the local Multiple Listing Service (MLS) for Central Florida has seen a rise in short-sale properties that are being marketed at a price that has not been approved by the Seller's lender.
The explanation for this is quite simple as lenders have been unwilling to communicate a price that they will accept until they actually receive an offer on the home.
While this may seem to make sense from a banking standpoint, this policy has created havoc in many markets as Real Estate agents and their Sellers are left to determine a listing price that they hope will generate enough interest and eventually, a Buyer who is willing to make an offer, knowing that the sale is subject to the approval of the Seller's lender(s).
And, as many have experienced, even when there is a full-price offer made, the Buyer must wait weeks (or months in some cases) to find out whether the price they offered is enough to satisfy the lender(s).
While there are no published statistics that have been shared regarding the success of short-sale closings based on the first offer written, data from the Mid-Florida Regional MLS indicates that these contracts are less likely to be accepted than subsequent offers because the initial listing price is often less than what the lender agrees to accept.
As a result, the first Buyer has wasted months of time hoping that their offer would be accepted, the Seller and their listing agent have to "start over" at a new listing price and the lender(s) are realizing less monies because the Seller is still not paying the mortgage.
With that being said, if REALTORS were to refuse to accept short-sale listings until lenders agreed to a pre-determined price that they would accept, how do you think that would impact the real estate market?
LaShawn Norden, PA, REALTOR, RE/MAX Central Realty, (321) 377-0157, LaShawn@LaShawnNorden.com
In years past, when an appraiser in Central Florida determined the value of a property that was under contract by a Buyer, they did so by using closed sales. Of course, consideration was always taken when the appraiser selected the comparables used to make sure that they truly were comparable, but never before have I known an appraiser to use "pending" or "active" properties to determine what the price should be for a home under contract.
Until now.
Within the last few months, it has become evident that lenders are attempting to minimize their risk by requiring that appraisers evaluate not only closed sales, but also properties that are active and currently under contract when determing the value of a home.
Kelly Kellogg, a property appraiser in Central Florida, verified that statement today in a presentation held by one of the largest lenders in the South, SunTrust Bank.
Ms. Kellogg indicated that loan underwriters are requiring that appraisers provide at least three closed sales (preferably within the last 30 days, but up to 90 days will be accepted), one comparable pending sale and one comparable active sale.
While in theory this might have merit, I wonder how it is that properties that have not sold, or are being listed at a price that may never get accepted (as a short-sale or pre-foreclosure) can truly be used as comparables when determining the value of a home that a qualified Buyer has made an offer on?
As a Buyer's Agent, I am quite concerned that if this method of appraising properties continues to be accepted, then the real estate market will continue to decline. By using active and pending properies, the value of homes owned by Sellers who are not in distress will be be driven down by those who are...which doesn't quite seem fair to me.
What do you think?
LaShawn Norden, PA, REALTOR, RE/MAX Central Realty, (321) 377-0157, LaShawn@LaShawnNorden.com
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REALTOR & advocate for BUYERS, SELLERS & RELOCATION clients in Central Florida! Education, communication & negotiation are my passion & the key to a client's success~Serving Seminole & Orange County
A Seminole County resident for more than 35 years, I can and do share my knowledge of each city and the neighborhoods within those cities with both Buyers and Sellers. Being a Central Florida Native, I spent my early childhood years as a resident of Orlando, Maitland and Altamonte Springs. When I was 10, my family moved to the city of Lake Mary, Florida where I went to school at Lake Mary Elementary, Lakeview Middle (which is now Millenium Middle School) and Lake Mary High School. After graduating from high school in the late 80's, I worked at the Central Florida YMCA in Lake Mary and for the Seminole County Regional Chamber of Commerce before starting my real estate career in 2002. As the Marketing Director for the YMCA and a Sales Consultant for the Chamber, I learned valuable methods of advertising and developed many beneficial relationships with area business owners and individual homeowners...all of which have been the reason for my growing success in Real Estate. It is my belief that Buyers and Sellers alike deserve an agent who will listen to their needs, understands and explains the process and is more concerned about building a relationship than in getting a sale. I pride myself on my response time, communcation skills and knowledge of the Central Florida marketplace and look forward to continuing to build lasting relationships for the next 25+ years! Fortunately, for the last five years, I have been ranked in the top 5% of agents in the Orlando marketplace and wish to continue to offer exceptional service to many more over the course of my career. We have four children: RJ, Nickolas, Konnor and Elvis (our Puggle)! We live in a Cambridge Home that my husband built in a small Sanford community in Seminole County near Lake Mary and Winter Springs.
My husband, Rick, is a residential building contractor who owns his own company, Priority One Homes. He specializes in home renovation projects such as bathroom remodels, room additions, painting, drywall, crown and trim work and general household improvements...which of course, means we talk a lot about homes and real estate in our household!
I am dedicated to my family and my clients and truly enjoy being an advisor to those I work with! I hope to have the opportunity one day to add you to my list of clients and friends as I want to be the only "Central Florida Native You'll Need!"
I have consciously made efforts to extend my knowledge and experience to all clients, regardless of their price range or level of experience. I have successfully represented first-time homebuyers as well as clients selling or buying million dollar homes and every price range in between!
Because I have lived and worked in Seminole County and Orange County for more than 35 years, the areas I feel can best service clients are:
Lake Mary, Longwood, Sanford, Winter Springs, Altamonte Springs, Casselberry, Fern Park, Oviedo, College Park, Winter Park, Windermere, Winter Garden, Ocoee, Orlando and Apopka...all of which are in Central Florida!
Because I have school-aged children also, I particularily enjoy working with families with children. I am very knowledgable about the area schools, recreation opportunities, YMCA locations and other interests that families might have and can relate to those who have similar interests.
Although there are many directions one can take when having a real estate license, my areas of expertise are: Buyer representation & negotiation with new home construction; Buyer and Seller representation with their home, condo or townhome sale or purchase; Buyers and Seller representation with their luxury home & estate sale or purchase and Buyer representation for those seeking investment opportunities in the residential market.
For those interested in commerical property, property management, short and long term rentals, leasing, vacation homes and time share, I do not feel that I am the best agent to service your needs...but I am happy to refer you to an experienced and effective agent who does specialize in those areas.
I am a member of the National Association of Realtors, Florida Association of Realtors and the Orlando Regional Realtor Association.
I have advanced certifications as a Accredited Luxury Homes Specialist and as a Transnational Referral Certified agent.
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