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Posts Tagged ‘short sales’

Southeast Michigan Short Sales- Why You Should Avoid Many Of The So Called “Short Sale Specialists”

I will preface this post with a kind of anti-disclaimer: If you have to sell via short sale, I DO NOT WANT TO LIST YOUR HOUSE. If you are a past client or a friend, I will list your house if selling via short sale is the best option for you, and you agree to my rules. So this post is NOT to get your short sale business.

I have my own reasons for not listing short sales, one of them being the success rate to close. In just general MLS searches for buyers and for market anlaysis’ for listings, it appears that about 1/3 of the houses that go pending short sale approval, end up back on the market or foreclosed. I personally never saw the benefits of a business model that has a 1/3 failure rate built into it.

Then today, one of my associates received an e-newsletter from a local “short sale team.” They bragged a bit about having closed over 100 short sale transactions in the past year. They then go on to crow about the fact they “process on average 75 active short sales daily…” Hmmmm. I was never a math genius, but I do own a calculator and that comes out to 100 closings for every 27,000+ clients they take on. So about one third of one percent of their business actually closes.

Since I can’t convince all my buyer clients to avoid short sale listings, PLEASE PLEASE PLEASE hire a good, experienced, successful agent to handle your short sale. Someone who was a good and successful agent BEFORE short sales became such a big business. To me it looks like many of the “specialists”, whether they are attorneys or real estate agents, specialize in listing a high volume of distressed homes with a small success rate. From a seller’s perspective, you may want to consider quality over quantity.

What Makes a Good Short Sale Agent?

Short Sale Approval is Subject to Seller Approval of the Terms

Bad Advise From Your Realtor? From Your “Short Sale Specialist”? What Are Our Responsibilities? Where Does The Buck Stop?

Jackie Hawley

Keller Williams Realty, Clarkston MI

Cell: (248)736-6407

Jackie@JackieHawley.com

www.MiRelocation.com

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Oakland County MI Seller- When Foreclosure May Be Your Best Option

If you need to move, and you’re upside down on your mortgage, short selling your house isn’t always the best option. Sometimes bringing the difference to closing is best. Sometimes renting your house out instead of selling is your best option.

And sometimes letting the house foreclose is your best option.

I had a call from someone yesterday who wanted me to find him a house to lease. He had a “short sale specialist” lined up to list his current home. After talking a bit he told me his house had already sold at sheriff’s sale this past December, so while we were on the phone I looked it up in the public records. The bank had bought it back for $130,000. I asked what he owed- less than $120,000.

THERE IS NO DEFICIENCY!! Nothing for the bank to come after him for over the next 10 years. Foreclosure or short sale– both screw your credit and either way he’s looking at 2 or 3 years before he can get a mortgage. So why would he want to go through the headache of a short sale? Why not live out the next 5+ months rent free and save his money, THEN find a rental? Why didn’t the “short sale specialist” give him his options? That last question will be the topic of a future post.

Other times a person may want to consider allowing their house to go into foreclosure instead of going through the hell of a short sale is when you are planning in filing bankruptcy. If bankruptcy is possibly in your future, you need to talk to a bankruptcy attorney before signing a listing.

In Michigan you have possession of the house for 6+ months after the sheriff’s sale and if you are on 3+ acres you have 12+ months rent free.

Everybody’s situation is different and there is no one size fits all solution. If you have any questions about possibly selling your house- short sale or regular sale, please feel free to contact me for a confidential consultation.

Jackie Hawley
Keller Williams Realty
cell: 248-736-6407
email:
Jackie@JackieHawley.com

www.MiRelocation.com

Seller Blog

For Sellers

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