Parkland Parrot

Could Home Foreclosure Mediation Be Mandatory Soon?

Let’s face it!  You hear on every media outlet that Home Foreclosures are increasing throughout the United States causing homeowners to be forced out of their homes as well as drastically decreasing home values!  A study performed by a Florida Supreme Task force has found that approximately 10.5% of the 3.5 million Florida mortgage loans were in some stage of the foreclosure process.

I just read a great editorial from Florida Trend which highlights Collins Center for Public Policy, which is a research organization affiliated with Florida State University.  The Collins Center is taking the initiative in three circuit court districts, including Miami-Dade, to force lenders to try and mediate and do a loan modification before seeking foreclosure.  The Collins Center Mediation Program  has kept over 1/3 of the distressed foreclosure-bound homeowners in their homes at a modified mortgage payment that they can actually afford!

The Collins Center also arranges meetings with distressed homeowners and local financial counselors to go over all of their options including discussing President Obama’s Hope For Homeowners Program. This month, the Florida Supreme Court is also meeting to decide if mortgage mediation should be required by ALL lenders and making foreclosure the last resort for distressed homeowners.

I wish President Obama and Congress would have passed a bill like this last year.  Foreclosures will continue to negatively affect the economy in 2010.  We can help stop the bleeding, as the Collier Center’s program is not costing any tax payer dollars.  As a result, thousands of homeowners are still in their homes because of this initiative!  Can we get the rest of the counties in Florida, as well as the rest of the country, to FINALLY get on board?  I sure hope so!

To stay updated with all of the current Parkland real estate home information, receive our blog posts directly to your inbox by subscribing to the squawk.

If you are interested in buying or selling a real estate property in Parkland, please give us a call at 954-609-0591 or send a note to the squawk.

8 Facts To Know When Buying A Foreclosure

It’s A Seller’s Market For Bank Foreclosures

There is a big misconception in today’s market that a buyer’s market pertains to all potential home listings.  NOT!!! Bank foreclosure sales have become the new fad to buy where buyers are purchasing homes at significantly discounted prices. But, buyers must be aware of the 8 important facts to know when purchasing a bank owned property:

1.  Make sure to get pre-qualified by a mortgage lender before looking at any home.  Banks require a pre-qual letter with all offers.  Cash buyers also need to provide proof of funds when submitting a written offer.  You will also know your payment options and understand the financing process before executing a purchase agreement.

2.  Bank owned properties are sold in their As-Is condition meaning that they will not make minor repairs to the property and do not warrant or guarantee anything related to the property.  Remember, the bank has never seen the property before.

3.  Make sure to hire an expert inspector to thoroughly investigate the unit for defects that may arise.  Banks will fix or give a credit for major functional problems such as the roof, a/c unit, or water heater.

4.  Make your best and final offer!  Most likely, you will not be the only potential buyer for a bank owned property.  It is imperative to make a very strong offer and include the highest amount of escrow money that you can afford to show the bank that you are serious and that they should take your offer over the competition!

5.  Make sure that your Realtor calls the listing agent to see if the home is still available, and there is not already multiple offers on the property.  If the home already has offers, it is a very good chance that you missed the boat.

6.  Work with a Realtor that specializes in bank foreclosures and short sales.  Even though the market has many distressed sales, it is imperative to work with an agent that truly understands the process and can help answer all of your questions and concerns.

7.  Be prepared to close quickly, as banks want to get the home sold and off their books as soon as possible because of the fees and carrying costs.

8.  Make sure that you work directly with the title company in order to clear all liens on the property.  I recommend that you hire an independent attorney.  Banks usually pay for the owner’s title policy in order to require the buyer to use their own title company.  You need someone looking out for your best interest. so hire an experienced real estate attorney.  It will be money well spent! Bank foreclosures can have multiple liens on the property, so it is important that clear title is provided before you sign on the dotted line of the closing statement.

To stay updated with all of the current Parkland real estate information, receive our blog posts directly to your inbox by subscribing to the squawk.

If you are interested in buying or selling real estate in Parkland, please give us a call at 954-609-0591 or send a note to the squawk.

Has The Regular Sale Become An Endangered Species?

Short Sales … Enter At Your Own Risk!

Regular Sale … You Know The Home That Is NOT A Distressed Sale, Foreclosure, Short Sale, Or Wait Forever To Hear From A Bank Property Listing …

The regular sale has become an endangered species as more and more properties being sold around the country are distressed sales!  But, my question is will this trend continue as the press boasts how these homes are the BEST Deals out there on the market? Unfortunately, you do not hear the negatives of buying a distressed sale in today’s market.

Become An Informed Buyer:

Below, please find a list of the 6 negatives of purchasing a distressed sale: Read the rest of this entry »

Should I Buy An Approved Or Unapproved Short Sale?

What Is The Difference Between An Approved And Unapproved Short Sale?

Many of our potential buyers are asking this same question before putting an offer on a property.  The answer we tell them is:  Not Much!

With the lack of properties on the market for certain price ranges, the options of putting offers on “Approved” short-sales certainly represent an option for many buyers. However, after weeks of waiting, the buyers are still looking for an answer from the lien holders (the banks).  At this point, this is where the misconception of the “Approved” word comes in.

An “Approved” Short-Sale simply means that the bank, or lien holder, has already processed most of the paperwork required from the homeowner to approve the short-sale.  In many cases, the bank has also received the BPO (Broker Priced Opinion) with an estimated value for the subject property. Read the rest of this entry »

Parkland Real Estate Foreclosure Update

Current Parkland Foreclosure Real Estate Update

Currently, there are ONLY 289 active Parkland single family listings on the market, with ONLY 10 being foreclosure listings. Parkland residents should be ecstatic at this exciting news, as the market is showing signs of settling!  Inventory is low and buyer activity has increased in the past few months.

Typically, foreclosure, or bank owned properties, have a very large impact on the current market values of properties.  Banks are trying to sell their inventory quickly at a discounted price.  When a foreclosure sells, appraisers are forced to use these homes as comparable sales when performing appraisals on pending sales.  But, the less foreclosure inventory on the market, the better the values will maintain through the rest of 2009 and hopefully into 2010.  Also, with less than 4% of the active single family Parkland listings being foreclosures, buyers will be forced to look at regular listings.  As a result, current Parkland sellers have been receiving more showings on their homes.  More traffic will ultimately equals more offers!

If you are potential buyer who is still sitting on the fence, waiting to get a better price, think again!  Many Parkland listings are getting multiple offers and are closing close to asking prices.  Potential buyers are starting to smell the coffee!

To stay updated with all of the current Parkland real estate information, receive my blog posts directly to your inbox by subscribing to the squawk.

If you are interested in buying or selling real estate in Parkland, please give us a call at 954-609-0591 or send a note to the squawk.