Warning: Only 2% of real estate agents in the U.S. are certified to handle your short sale, even though many agents attempt it. Rhonda Duffy is the ONLY Elite CDRS certified short sale specialist in Georgia!
A short sale in Dacula is extremely easy because Dacula is a very desirable area. However, you must have the right agent selection that not only sells homes in Dacula, but one who also knows how and what to do with a short sale in Dacula as the evaluation and pricing formulas are critical to your final outcome. Only 2% of the agents in the U.S. have certification and information on exactly what these formulas are. Thus, only 25% of the short sale offers proposed to lenders are acceptable to the lender’s ratio. The ratios are guidelined by FHA, VA and conventional standards. Where you are in the process of paying your mortgage, or not, is also critical to the process. We need to evaluate what you have done so far as well because if you have applied for loan modification, you can be thrown out of approval and out of the modification program all together. And, if you are already in a certain period of default, the lender may force
foreclosure sooner than you can apply a short sale and finalize a sale with a buyer. Time is of the essence when you get the idea that a short sale might be the answer that you are looking for.
So, let's get on the same page quickly and get the ball rolling here. The term short sale is used when a seller asks the bank to forgive debt so that the seller can sell the home to a buyer without foreclosure proceedings. Short sales benefit the seller because it causes less long term harm to their credit. Short sales require a specific expertise from an agent to secure the seller’s position. Only 2% of agents in the U.S. are certified with these formulas by the lenders. 75% of the short sales attempted fail due to lack of knowledge by the agents involved, yet buyers are spending thousands of dollars in the process attempting to buy the homes with useless appraisals, inspections and earnest money deposits that fail to yeild them interest.
If you have a hardship like loss of job, medical bills, death in the family, divorce or some other hardship, the lender will consider your debt to income ratio as well as your assets to approve you in a hardship program. When they enter you into the program, they are stating that they will consider wiping away the debt that is owed with no ramifications of a judgement against you. You may or may not be behind in payments when you apply and they will consider doing a short sale for you without a hardship other than the property has lost value.
FHA, VA, Conventional and Home Equity loans all have different structures, processes and formulas that are used to sell short. These processes require a certain expertise that when strategically applied can greatly decrease the time and anxiety around this process. This process is similar to chess when summed up simply. You as the homeowner, don’t play a huge part in this process. This is where a real estate agent(s) can make or break a deal.
Many banks and investors are playing a part in this scrambled mess. Bank of America, Wells Fargo, Suntrust, GMAC, and a whole bunch of secondary lenders make up the rules as they go along. They are guided by government and the rules change often. There are several revamps to the law like the HAPA program that protect the standards of how these lenders are to respond and when they are to respond. Unfortunately, there is no real enforcement or education of these laws and guidelines so it is often a rocky road to travel on. We wear hiking boots with double socks to avoid snake bites!
Finding an agent to help you is the first step of the process for you. The lenders want to talk to you or your agent. They don’t like third party companies (some states have banned third party companies) and they don’t like attorneys who push and threaten them. But not agents are equal. As a matter of fact, agents historically don’t take the time or money to get the schooling that is needed to comply with these lender’s gameplans. Sadly, only 2% of agents are schooled in short sales although many agents attempt to work them. So, as a result of a lack of knowledge, the files (mostly incomplete as reported by the latest study) sit on the asset manager’s desk at the lender for months. Asset managers reported at a recent national seminar that they don’t even have time to call the agent to tell them that the file is incomplete. But the biggest danger to today’s short sale transaction is that the agent does not comply with the ratio that the bank will accept so after months of time and energy by the agents and buyer and seller, everyone is disappointed and exhausted. And shockingly, the last survey showed that 98% of the agents surveyed said that they did not know that there is a ratio.
Marketing of the listing is equally important because nothing happens without an offer. Many agents aren’t equipped to spend a budget to market a home. Internet websites require membership costs to upgrade the listing with more than 4 photos. And, many agents simply don’t understand the price to put on the listing and instead list the property too low and when it is all said and done the bank will not even come close to the price the home was marketed at and the buyer offered. So, more time is wasted and the seller is getting just another day closer to foreclosure.
The good news for buyers is that the average short sale is sold at around 92% of fair market value. That is some great equity for the buyer and should be taken seriously. However, closing costs are not included in these transactions and should not be asked for. Same with repairs. In an FHA transaction, a buyer may as for up to 1% of closing costs and in a conventional transaction, you can sometimes ask for 3% but you have to be paying closer to fair market value to make the deal work.
Rhonda Duffy is the documented, #1 Agent in Georgia for resale listings. Rhonda uses every modern tool to market and sell her homes and Rhonda is a certified short sell specialist and the only real estate agent with an Elite CDRS designation and certification in Georgia. She is one of the 2% of agents who know how to calculate a strategy to get a short sell shorted with the lender. Rhonda sells homes in Dacula.
The government requires me to tell you that agents are not approved by the government or your lender and that just because you get a buyer does not mean that your deal will be approved by your lender. And, if you stop paying your mortgage, you will damage your credit.
Rhonda Duffy's Short Sale Listings in Metro Atlanta
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If you are a buyer reading this page, do you want to buy a short sale in Dacula? Buying requires a certain formula as you have seen above. Without the formula being used, you will waste a lot of time (average short sale takes 4 months but could be much shorter if a process is used that is acceptable to the lender). Take the frustration out of the transaction. Hire Rhonda Duffy and not only get a short sale expert, but receive 1% of the sales price at closing. Rhonda’s services to you are paid by the lender and cost you nothing.
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