Short Sales and Foreclosures in San Diego

Short Sales and Foreclosures in San Diego

Short Sales are when the homeowner owes more money to the mortgage holder than what the home is worth after selling costs. Even though I have watched the news and have heard the “EXPERTS” say, “Call your bank they’ll understand and either refinance your current loan into one that’s more affordable or take less money than you owe and let you short sale your home” RUBISH!!!! Many lenders from what I have seen are not willing to short sale a home as easy as many are saying in fact I am more inclined to see the banks and lenders foreclose on a home and sell it themselves.

When the lender forecloses on a home they take the home back and it is now their home and not yours. They will then sell it themselves, hire an agent to sell it, or auction it off. This is not a good thing but if a homeowner can’t make their payments this is something the lender will do. You could always contact an attorney to help you with any questions. This also doesn’t mean you will never buy a home again, it means you will have to start rebuilding your credit. I am guessing that the lenders 3-5 years from now will be lending money to people that got caught up in these low interest loans that jumped to a super high payment.

Because the interest rates on many of the loans are going from a fixed rate to a variable “much higher” rate on many loans the amount of homeowners unable to afford their house payment is incredible. I saw on the news that estimates were between 1,000,000 to 3,000,000 homeowners will lose their homes in the next year.

If you’re buying a home make sure you’re getting the best possible price and that you’re not over paying. Make sure your agent is looking at all the comparable homes that are on the market and sold. I have seen many cases where you can pick up a model match for $100,000 less although it might need new paint and fresh landscaping. This is really where the bargains are, buying a home that is under priced although it might not be your first choice. Usually that first choice home has a stubborn homeowner who insists their home is the best in the area and won’t sell it for anything less than the upper end. WALK AWAY! Buy the cheaper home and add a little TLC to it.

In this market more than ever you need an expert. Contact your http://www.dawnsellssandiego.com/ agent today!

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All information is believed to be correct but not gauranteed!