We are Bank REO, Short Sale Certified Specialists:
Not Sure Which Way To Go In This Market?
We are your local real esate professionls & neighbor! IF you are a homeowner, have a friend or family member that is behind or will be behind on their mortgage payment, it is good to know your options. We have helped many homeowners through these tough times. There are currently 2.4 million mortgages nationwide 90 days past due and 2.1 million mortgages that are winding through the foreclosure process, which toether make 4.5 millioin mortgages that are henind on their payment so you are not alone. There are options for homeowners such as loan modificatios, short sales and foreclosure.
Loan Modification (Option 1):
Most responsible homeowner's first step to action is to apply for a loan modification with their lender. Programs such as the government HAMP program have been put into place to help homeowners. The HAMP program has been extended to 1.2 million borrowers and to date just fewer than 300,000 borrowers have been put on a permanent modification. Still the four largest lenders, Bank of America, Wells Fargo, JP Morgan and Citi, are denying 80% of the loan modifications they receive. Additionally, homeowners must be aware of scams and avoid paying upfront fees.
Did you know only 8% of homeowners received a permanent loan modification in California last year, which is hwy option 2 is recommended to be considered during the loan modifiaction process.
Short Sale (Option 2):
If a homeowner does not qualify for a loan modification or is not able to continue maiking the odified payment, their home will move to foreclosure quickly. A very popluar way to avoid foreclosure is to do a Short Sale. A Short Sale is when a bank and homeowner accept to sell the property for less than what is owed on the mortgage. By doing a Short Sale, a homeowner can stay longer in their home through the escrow period, purchase a home again withing 2-3 years instead of 7-10 with a foreclosure, will have less of an impact on credit scores, usually no judgment for the loss/difference which means no future debt collection calls or wage garnishments and lastly many lenders are asssisting homeowners with up to $5,000 in assistance.
Did you know that if you foreclose, it is very likely that an investor will purchase your home at a discout to resell for a profit right away as a flip? Homeowners are then harassed constantly to move so the investor can prepare to sell it and make a quick profit from their unfortunate loss. Option 2 gives privacy, more time, and peace of mind.
Foreclosure (Option 3):
If an homeowner does not do anything, the home is sold at a foreclosure auction to an investor at a discount or reverts back to the lender. What homeowners don't know is, if you refinanced your original mortgage you waived the right to be protected under California Legislation 580b and the bank can file a deficiency judgment even years after a foreclosure, giving an opportunity to garnish wages and hire debt collectors. There are also possible tax ramifications to consider and it becomes difficult for homeowners to move on wiht their families and lives.
Not all situations are the same. My team is committed to providing excellent and honest service to our community. If you have any questions about your situation and would like to discuss your options please call The Garduno Team @ (951) 285-5587 or email at firstname.lastname@example.org. Consultations are FREE!