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Orange County Short Sales |
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Orange County Short Sales
For a few years Orange County thought it would escape California’s real estate bubble. We have all heard… live within 10 miles of the beach and prices will only go up…Well they went up, up, up and up. Unfortunately the higher you climb the harder you fall. That was first evident in boom communities like Ladera Ranch, but it has now spread throughout OC. It no longer matters if you are in Irvine, NewPort Beach or Westminster…Prices are down and if they follow the uptrend, they are going to keep going down. What can you do? Information is the first step, once you understand all your options you can make the best decision for your situation.
You probably don’t want to start with one of the “part time” real estate pro’s. In 2005 if you owned a home in OC you had a 70% chance of having a neighbor who was a real estate pro. Looking back that is not hard to understand, when you could pull a couple hundred thousand out of your house every year it wasn’t hard to pull off. Today it is a different story. Whether you use our team or not, your first step is to talk to an Attorney, not the real estate pro. Orange County is known worldwide as a home to wealth. Don’t make the mistake to think the banks don’t watch reality TV shows. Job number one, is not a short sale, walk away or strategic default…It is PROTECTING YOUR ASSETS AND FUTURE.
There are as many ways out of this mess as there are ways to get sued…you don’t want to end up with the latter. Our team of experienced professionals has helped hundreds of clients through short sales, walk a ways, and strategic defaults. Now is not the time to gamble on your future. Complete the form below for free, confidential, no obligation analysis of your personal situation by John McConnin Broker / Attorney. Knowledge will empower your future.
Orange County Short Short Sale
A current list of McConnin & Company Realty's Active Listings and Short sales in Orange county - click here.
We are a members of the Orange County MLS known as the SoCal MLS.
If you list with us, we will not charge you any legal fees.
However, if you already have a Realtor we can help you oversee the file and protect your assets.
Call us at 714 203 6800 or fill out the form below.
Definition of a Short Sale
The following defininition of a real estate short sale may be found on wikipedia. I add my comments in parenthisis where I think they will be useful. The last sentence is the reason I have used this explanation from wikipedia.
In a short sale, the bank or mortgage lender (or its servicer and now lately the lender mortgage insurance company) agrees to discount a loanbalance because of an economic or financial hardship on the part of the mortgagor (with some lenders the hardship is an easy threshold to cross and with others it is more diffiicult to establish). This negotiation is all done through communication with a bank's loss mitigation or workout department (with Citibank or Bank of America you frequently wind up negotiating with the representative of the mortgate insurance company. The home owner/debtor sells the mortgaged property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender, sometimes, but not always, in full satisfaction of the debt. (if your release from the debt is not in writing, you may not wish to do the short sale. ) In such instances, the lender would have the right to approve or disapprove of a proposed sale. Extenuating circumstances influence whether or not banks will discount a loan balance. These circumstances are usually related to the current real estate market and the borrower's financial situation.
A short sale typically is executed to prevent a home foreclosure, but the decision to proceed with a short sale is predicated on the most economic way for the bank to recover the amount owed on the property. Often a bank will allow a short sale if they believe that it will result in a smaller financial loss than foreclosing as there are carrying costs that are associated with a foreclosure. A bank will typically determine the amount of equity (or lack thereof), by determining the probable selling price from a Broker Price Opinion BPO (also known as a Broker Opinion of Value (BOV)) or through a valuation of an appraisal. For the home owner, advantages include avoidance of a foreclosure on their credit history and partial control of the monetary deficiency. A short sale is typically faster and less expensive than a foreclosure. In short, a short sale is nothing more than negotiating with lien holders a payoff for less than what they are owed, or rather a sale of a debt, generally on a piece of real estate, short of the full debt amount. It does not extinguish the remaining balance unless settlement is clearly indicated on the acceptance of offer.
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Last Updated ( Friday, 04 November 2011 )
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