Robert J. Gaffney-Leisure Land and-Properties Realty

FORECLOSURE / BANK SHORT SALES AND AUCTIONS

The new thing for banks these days is to try to be in the Real Estate business. Too many times lately  banks and mortgage company's are stuck in the middle of collecting the mortgage and foreclosing on your home. But, these day's, as it has occurred many times in the past, financial institutions are faced with a new fad called Short Sales. Now, to understand how Short Sales work, once you get behind in your mortgage you start to receive the letters in the mail from your bank/mortgage company.  READ MORE ON www.robertjgaffney.com

Depending on the bank/mortgage company, you may have up to a full year before any foreclosure proceedings begin. Once your property is in pre-foreclosure you may have time to put the property on the market, as long as you haven't ignored the letters in the mail and you've come to grips with the fact that you are in danger of losing your home and any credit rating you may still be hanging on to. The pre-foreclosure or foreclose process has started and you have had the chance to list your property with a realtor or on your own.

By the way, it is my duty to let people know that may be currently facing this tragic situation, it would benefit anyone to use a realtor, especially for this. I say this because whoever is going to handle the sale of the property will have to in constant contact with banks, mortgage company's, appraiser's, home inspector's, buyers, attorney's as well as many other individuals involved in the sale of the property.

Now, you have your property on the market, you just found a buyer that is interested in your property. The buyer comes back with a contract and it gets excepted. Now what? You have a property that was just agreed upon for sale, but it is also in the middle of a pre-foreclosure or foreclosure process. Now the task at hand is to convince the bank/mortgage company to agree to accept the terms and conditions of the buyer and, more importantly, the price the buyer is offerring. Unfortunately, unless the buyer is purchasing the property for more than your property owes on the mortgage you will have to deal with the bank/mortgage company to see if they will accept the price.

Through personal experience, banks/mortgage company's will try to hold off, be very difficult or just try to ignore the request's made to close the transaction quickly. Banks/mortgage company's do not want to agree on a sale of a property, especially if the property is being offerred at below market value or less than the amount owed on the note.

At this point, if the purchase amount is less than what is owed on the property it will feel as if you no longer are the owner and you have to ask permission to sell your own property.

The newest craze is putting properties on the auction block instead of conventional sale. In my opinion, this is the reason why the banks/mortgage company's are "holding off" on approving Short Sales. The media likes to tell the public that Short Sale's are moving properties for the banks and the banks/mortgage company's are cooperating fully with the public. NOT TRUE.

The moral of the story, the earlier you can put the property on the market for sale, before it goes into pre-foreclosure or foreclosure, the better. I realize how difficult, frustrating and embarrassing it can be to lose your home, but it can be quite invigorating to help yourself out of your problem and not let it get to the control of others.

If you need any further assistance in any real estate transaction or information I would be glad to help you, just give me a call. By the way, I hope you enjoyed the article, let us know if you have any input that could be helpful.

Robert J Gaffney - Sales Executive

Leisure Land & Properties Realty

Off: 973-293-3267

Fax: 973-293-3567

Cell: 570-228-9126