Meg Vogt

As of November 5, 2009 there are currently 289 active condominium listings. These range in price from$64,900 to just under $4,000,000 of these 289 there are only 37 advertised as short sales, 8 advertised as foreclosed. That is only 15.5% of the condo market. For those Buyers looking to take advantage of this small piece of the marketplace, it has never been more important that you choose an expert to work with in negotiating your sale.

Based on recent conversations with several lenders, they are indicating that individual negotiators are back up with as many as 300-500 files on their desk. Buyers cannot afford to have an agent submit an incomplete or inappropriate short sale package. A typical short sale package going out of my office entails researching the Seller, and preparing up to 50 pages, formatted, and labeled in manner most desired by Lender. If you are a Buyer willing to wait the time to hear a response from the lender upwards of six to nine months in some cases, you can expect to get a very good deal.

Buyers also need to be aware that Sellers cooperation and qualification is a necessary requirement in getting their short sale through. I am constantly hearing of Buyer's horror stories of having attempted a short sale with poor results. The industry standard for agents with Certified Distressed Property Expert training compared to those without is the difference between closing 85% of their transactions as opposed to on 30%. If you are thinking of considering a short sale, who do you really want to work with? Meg Vogt, Broker CRS CDPE and REO Specialist has the training and the experience to achieve your real estate goals. Contact her at her office Exit 2 Paradise Realty 850 492-6972 or on the web at www.Exit2Paradise.com

Meg Vogt has experience working with short sales in Pensacola and carries the CDPE designation (Certified Distressed Property Expert) recognized by the National Association of Realtors. “I have a great desire as well as obligation to help educate distressed families to know all their options in today’s housing crash. If there is a way to avoid a foreclosure we want to get this information across even if doesn’t mean a sale for us. We are about helping people. The CDPE training has also equipped me to substantially help Buyers achieve their goals using defined communication and insider knowledge where Lenders and Investors participate in sales.”

What are Pensacola Market Conditions?

Our real estate market in Pensacola has not been hit as hard as southern Florida, California, and Arizona; the home values in Pensacola have decreased anywhere from 12% - 20% in the past 18 months. According to information gathered at a recent economic seminar hosted by the CRS chapter of Pensacola, we had the benefit of the combined expertise of Pensacola’s most respected and capable, John Priller, of John Priller and Assoiciates, Al Mueller of Metro Market Trends and Dr. Rick Harper economist with of the Haas Center of the University of West Florida. Their research indicates that single family homes are currently dropping on an average of 1% a month with no immediate end in site.

Before you start pursuing a short sale on your home in Pensacola, here’s a brief description and explanation about short sales. Essentially the buyer purchases the property for less than the combined seller’s mortgage(s) and the Seller’s closing costs.

What is a “short sale”?

It is a sale on a property in which the lender(s) authorizes the property to be sold for less than what is owed on it, and if approved it occurs prior too and in lieu of a foreclosure. The seller may be willing and able or unable to contribute to the short fall. The shortfall defined as the difference between the amount owned by seller plus closing costs and the actual net proceeds received by lender.

Who can qualify for a short sale?
It is completely up to the lender to decide if a seller is eligible to sell their home as a short sale. There are many things that enter into this decision and some of these factors include:
• The borrower’s overall financial condition
• The borrower’s hardship
• The cost to get the property into resale condition
• The property’s value as determined by appraisals or BPO’s (Brokers Price Opinion)
• The cost of marketing and selling the property once it has been foreclosed
• The mortgage insurance on the property
• The investor on the loan

What is considered a legitimate hardship by the lender?
This varies lender by lender; but as a general rule the borrower must be experiencing one of the following:
• Illness of the borrower or immediate family which has caused severe financial problems
• Death of a spouse, which had caused the inability to make mortgage payments
• Job transfer out of the area without being able to sell the home
• Job loss of borrower with no foreseeable employment due to local economic conditions
• Insolvent borrower
• An adjustable rate mortgage that the borrower can no longer afford the payments

What isn’t considered a legitimate hardship by the lender?
• The borrow doesn’t want the house any more
• The borrower doesn’t feel like making the payments any more
• The borrower wants to buy a bigger home for the same price now

Missed a mortgage payment?
For a confidential no-cost consultation regarding your home options you may reach Meg at 850 492-6972. For an up to date list of short sale, foreclosed, or special sale properties, email your request to megizms@gmail.com. You can also visit my website at www.exit2paradise.com.