Shane Torres

INCITE TO THE SHORT SALE TIME LINE

I must get asked about a dozen times a day what is the short sale time line. Funny thing about that question is there is no good answer for what the short sale time line is it all varies on a number of factors who the lender is in the short sale time line. Most people only hear horror stories of short sales in the past the problem with those where that that 99% of the agents that try and do short sales do not understand or know how to do the short sales or modifications. I'm hear to tell you things are alot better and when there is a qualified short sale agent working on the file things are moving alot faster and homes are being closed and sold faster.

Here is a general break down of the all the factors that go into the short sale time line.

1) The the home owner has to understand that they are in a distressed situation and need help with their mortgage whether it is a it is a loan modification or a short sale at that time they would need to contact a short sale real estate agent.

2) Once the short sale real estate agent is contacted they will then ask the home owner a series of questions that will help determine if the home owner is pre-qualified to do a modification or short sale.

3) Once the short sale real estate agent has determined that the home owner is qualified for to do a short sale or a modification then the short sale real estate agent will then go meet with the homeowner to collect the documentation that is needed to do a short sale or loan modification. Some examples of documentation needed are.

W2, Pay Stubs, and tax returns these are just a few.

also at this time the short sale agent will list the home usually at well below market value. This is not always the case if the home owner is current at the time of the listing then the home will be listed as traditional sale.

At this time the short sale agent will also determine what type of short sale will be done by determining who the lender is the short sale agent can then determine if the homeowner qualifies for HAFA, HAMP or a Traditional short sale.

HAMP and HAFA are programs put in place by the government to make short sales faster. This isn't always an affective way because most lenders are still putting systems in place and in some cases taken months longer to get answers then traditional short sales. Once these systems get put in place it will make things go alot faster and it will take guessing out of the what the lender will take for home as it will be pre-approved and a price will be given a head of time.

Because HAFA and HAMP are so uncertain Im going to continue with the time line for a traditional short sale.

4) In a traditional short sale there most be an offer on the home to submit to lender with all of the other documentation. Most buyers just assume that because a home is a short sale they can offer a low ball price and steal the home, what most don't understand is just because its a short sale doesn't mean the seller has given up rights to their home they still have the right to negotiate the short sale.

5) Once a deal has been reached the short sale is submitted to the lender for review. At this time after all documentation is received there lender will then order what is called a BPO or a broker price opinion. The BPO is the most important part of the Short sale or modification process this one thing can make or break a short sale. From the time the offer is received and the BPO is ordered can take any where from two to four weeks. Lately it has been 2 weeks.

6) Once a good supporting BPO is turned into to the lender then the negotiations begin on the short sale. This time can take weeks for every time a counter is done. Once a short sale is accepted by a lender it doesn't mean the short sale is over. There are a few more steps that have to happen.

7) The Lender in most cases is just a server of the loan and not the owner. Once the lender approves the short sale, it will then go to the PMI company who has to approve the short sale and also has the right to negotiate the short sale or even deny it. Once the PMI company has approved the short sale it then goes to the investor who has the final say on the short sale whether it has been approved or not.

8) Once approved there will be approval letter issued with instructions on how the short sale must proceed. The closing will take a minimum of 30 days to close the short sale.

9) Because this letter is issued doesn't mean that the short sale will close the home still has to meet all appraisal and loan guidelines as normal.

This is just one of example of how long a short sale time line can take.

The truth is it will all depend on who the home owner chooses to work with on your short sale file. Choosing an experienced short sale agent is very important.

Right now my time frame to get the first response from lenders on short sale files is about 45 days.

I hope this has given a little incite to the time short sale time line.

Shane Torres, REALTOR®

CDPE / SFR Certified

RE/MAX Real Estate Concepts
1830 Princeton Dr. Ste C
Grimes, IA 50111
Licensed Real Estate Agent in Iowa

Phone 515-202-5894
Fax 866-838-0904
shanetorres@remax.net
reoshane@realestateconcepts.net
For Information on foreclosure alternatives visit www.shanestopsforeclosures.com
visit my web site at www.sellingcentralia.com for more information on current listings

Many of the larger mortgage lenders in the country are showing a sense of compassion again this year as they have announced that they will not evict any families from their homes during the holiday season. Fannie Mae and Freddie Mac have also joined in by announcing that they will freeze anyforeclosure evictions between December 20 and January 3.

Evictions occur once the foreclosure process has completed. People can typically stay in their home until this phase of the foreclosure process. When someone is evicted from their home, thebank has either taken possession of it or it was sold at a foreclosure auction. If the homeowner does not leave the home, they will be evicted at this time.

Anthony Renzi, a high-ranking executive at Freddie Mac, said the mortgage giant will not evict people if they are in the home during the Christmas season in order to give the families a "greater measure of certainty." Rick Simon, a spokesperson for Bank of America, said the "robo-signing" scandal in recent months has made this year's thought of freezing evictions during the holiday season a little awkward, but they still plan on observing that policy this year. For JPMorgan Chase, a spokesperson said it will be weeks before the lender begins actively pursuing evictions again.

This holiday moratorium on evictions could affect tens of thousands of defaulted mortgages across the United States. There are about 100,000 new bank repossessions on homes each month, there will be many happy families who will appreciate having a home to live in through the New Year. On the downside, defaulted mortgage borrowers should be prepared for the worse once the first week of 2011 arrives. Some banks may step up their eviction efforts which could result in a couple hundred thousand homeowners being kicked out onto the streets during the first part of the new year.

Article Submitted by: CA Hagy

This is defiantely not a long term plan, but will help thousands for familes have a place to spend the holidays and try to enjoy the holidays. Why I think this is important is it allows people that that have more time to seek out their options for foreclosure alternatives.

As a CPDE/SFR I have the tools and knowledge to avoid a foreclosure.

Remember no matter what Foreclosure Alternative the owner may want to do my services are FREE to you. There is nothing to loose and everything to gain.

If you know someone please have them contact me.

Thanks
Shane Torres, Real Estate Expert
CDPE/SFR Specialist
RE/MAX Real Estate Concepts
1830 Princeton Dr. Ste C
Grimes, IA 50111
Licensed Real Estate Agent in Iowa

Phone 515-202-5894
Fax 866-838-0904
shanetorres@remax.net
reoshane@realestateconcepts.net

For Information on foreclosure alternatives visit www.shanestopsforeclosures.com

visit my web site at www.sellingcentralia.com for more information on current listings

Des Moines Lenders

In the real estate industry choosing the people and industry partners to work with can make the difference for being a successful real estate agent or one who just gets by.

This brings me the to question how do you know whether you are working with a good Lender Partner.

In my many years as a builder and now a real estate agent I have worked with a number of lenders good and bad.

In my most recent closing I was working with a very good local Des Moines Lender . The whold process of the transaction from the approval to the closing with this Des Moines Lender was very smooth .The Lender was always on top of things nothing was ever behind and we where able to close on time and this local Des Moines Lender had things done a week ahead of time during a holiday week which was very impressive. If only all closings and transactions could be this smooth. This is how you know you are working with a good lender.

Now a few tips to know when your lender just is not a good partner to work with in business.

1) If the lenderis hard to get ahold of.

2) If you are always haveing to chase down the paper work from the lender.

3) If your lendersends Closing docs show up 10 min after closing.

4) If you have a closing date and then the lender gets it extended 3 times in a two week period.

These are just few red flags that you might want to find a new Des Moines Lender Partner to work with.

Thanks
Shane Torres, REALTOR®

CDPE / SFR Certified

RE/MAX Real Estate Concepts
1830 Princeton Dr. Ste C
Grimes, IA 50111
Licensed Real Estate Agent in Iowa

Phone 515-202-5894
Fax 866-838-0904
shane@realestateconcepts.net
shanetorres@remax.net
reoshane@realestateconcepts.net http://shanestopsforeclosures.blogspot.com/

For Information on short sale visit www.shanestopsforeclosures.com
visit my web site at www.shanetorres.com for more information on current listings

Good Morning to all today is the first day of October and it seems hard to believe but soon the year will be over and the big question for me will be how was my year for me it doesnt matter so much how many homes where closed but more importantly the people I have helped whether it be a traditional sale/purchase or a short sale. Nothing is better than seeing someone make that step happen or if it is a short sale to see the relief that is on their face once they have closed and move on with there life. This blog may have seem to come out of no where but what really got me thinking was last night when by chance I decided to look at face book and as Im scolling down I see this post not exspecting it meant alot coming from a client.

If you are in need of buying a home or help with keeping up with your mortgage payments, you need to call my realtor Shane Torres. I only work with the best and you should also. With experience and vast knowledge, Shane will be your first and last stop for information. Check him out at the website below.

Homepage

See what I mean.

Tell next time.

Thanks
Shane Torres, Real Estate Expert
CDPE/SFR Specialist
RE/MAX Real Estate Concepts
1830 Princeton Dr. Ste C
Grimes, IA 50111
Licensed Real Estate Agent in Iowa