Why Do Luxury Short Sales Make the News?

May 16, 2013 by David Tal

Luxury short sales attract a lot of attention in the media because American consumers like two things:

·         Getting a glimpse of the lifestyles of the rich and famous

·         Reading a good riches to rags story

It’s not a pretty habit, but a lot of people do like to point smugly at wealthy homeowners and ask, “How could they get in so far over their heads?” 

GMAC Short Sale Application Includes Good Advice

May 10, 2013 by David Tal

If you are filling out the initial financial forms to start a GMAC short sale, pay special attention to the third party authorization form near the end. This is the document that gives your lender permission to speak to your real estate agent or another party you designate on your behalf. It’s a critical piece of the puzzle if you want a professional to help you negotiate with the bank about your short sale. This form contains a few words of caution so you don’t get taken advantage of by shady “short sales consultants”. 

Can You Short Sell a Secondary Home?

May 8, 2013 by David Tal

Do you have a rental or investment property that’s lost value rapidly in the last few years without generating sufficient income? Or, do you have a vacation home that you just can’t afford to keep? You may be wondering whether you can short sell this home and get out from under.

Buy a Short Sale With an FHA Loan Before June

May 6, 2013 by David Tal

If you are in the process of buying a short sale and qualify for an FHA loan for the mortgage, you should act quickly to seal the deal. The loan application process itself may not take too long, but short sale negotiations may tend to drag on. That’s all the more reason to get started right away and make sure the seller has already gotten preapproval from their lender. If you wait until June to get your loan, you will be facing a dramatic increase in the cost of your FHA loan over the lifetime of the mortgage. This change has nothing to do with interest rates. Instead, you’ll be seeing the increase occur in the mortgage insurance premium (MIP) and the length of time the insurance remains in effect.

Why Do Banks Prefer a Short Sale vs. Foreclosure?

May 2, 2013 by David Tal

We’ve blogged quite a bit about the benefits of a short sale vs. foreclosure for homeowners. Short selling does less damage to your credit, is less embarrassing than a foreclosure, and actually lets you walk away with a little cash for relocation expenses. But what makes this option appealing for banks? Why should they let you walk away from a home while they take a loss?