Short Sales in Colorado

A short sale is when a lender is willing to accept less than what is owed against real property and helps the homeowner pay the bank off and avoid foreclosure.

If you are late on your mortgage payments, its better to short sale your property and avoid foreclosure. Lenders are working more now with borrowers faced with financial problems and will discount the payoff of the home. Lenders would prefer to settle with you versus having to foreclose on your home.

As you are attempting to sell your home, keep in mind your lender wants to limit loss on your mortgage loan. It is better for both the home owner and lender to short sale the home versus facing foreclosure. It will limit the loss for both parties. It can cost the lender as much as $30K to $50K to foreclose on a home.

As you face a Short Sale as a seller, you should not have any extra costs as the mortgage holder pays sales costs. These sales costs include commission, title, escrow and approved property repairs. If you are facing a short sale, call us today. We can help you through the short sale process.

When the mortgage company is looking at reasons for financial hardship, below are some of the legitimate reasons:

1. Job Loss
2. Illness impacting ability to work
3. Injury
4. Divorce

Its important to work with someone with short sale experience. Lenders will not approve all short sales. You can pre-qualify for a Short Sale, call us today (303) 840-9252 or emailing us at info@real-estate-denver-colorado.com.

Great Home in Commerce City

Commerce City is ranked the 2nd fastest growing city in Colorado by Forbes magazine. The population is around 42,500 people. Commerce City offers dining, entertainment, and shopping.

Commerce City is nestled between Denver International Airport and downtown Denver. It is a hub for Denver commerce.

The Rocky Mountains are a short hour away.

New Millennium Homes recently listed this great home in Commerce City. It's features include:

Air conditioning,Ceiling Fan, Double Pane Windows,Formal Dining,Garage Dr,Gas Logs,Great Room, Landscaped Pro, Newer Carpet,Newer Paint,Refrigerator,Smoke Free, Sprinkler,Tile Floor,Utility Shed,Vaulted Ceiling,Window Cover,Walk-In Closets,Water Purifier, and Water Softener.
	Amazing home. Upgraded everything! 42" cabinets, wood blinds, tile, carpet. Great Room with Fireplace. Beautiful yard with shed. 3rd bedroom could be study.Super clean. If you are in the market for a new home or are a first time home buyer, let our one stop shop help you find the right home for you.

Short Sale vs. Foreclosure Home

Earlier in this blog, we discussed short sales. To take that a step further, let's further define the difference between foreclosure and a short sale home.

When a house is sold for less than what is owed on the mortgage, this is known as a short sale. Short sale homes tend to be in better condition than a foreclosure home since someone is usually still living in a short sale home.

One statistic shows that in a short sale, the mortgage value loses around 19 percent. But on a foreclose home the mortgage value loses around 40 percent.

When a home has been foreclosed, the lender will take the home back and the home will be vacant. Many times the home will need some repairs and sometimes has been vandalized. Some lenders will not lend money on a home that is not considered habitable. Buyers of a foreclosure home have to see past the repairs needed to see the potential of the home, however, they also need to know the potential costs of the needed repairs like: new carpet, paint, necessary handyman work, etc.

Bank owned properties is one of the most common form of foreclosure investments. Bank owned homes have already been through the foreclosure auction with no buyers. This real estate then becomes the property of the bank.

All in all, there are great opportunities to make money on a foreclosure home and usually a potential buyer will hear back sooner from the lender than on a short sale.

Short sales, foreclosures and bank owned homes provide an opportunity for a home buyer.

Great Home Prices in Aurora

All across the United States homes are hitting rock bottom - For the first time home buyer, this provides a great opportunity.

With all that is going on in the real estate market right now, home prices are hitting rock bottom. Aurora, a suburb of Denver, is one city that has great home prices.

This community has benefitted from President Obama’s tax credit incentive.

The tax credit has been extended to April 30^th, 2010. The tax credit has enabled many 1^st time home buyers to get a home.

Aurora is the 3^rd largest city in Colorado

Current Aurora Facts – 2/19/10

• $173,250 median sold price
• 2023 listings for sale
• 32% currently under contract
• 1922 listings sold - last 6 months

Buckley Air Force Base is located in Aurora. This has helped to keep the unemployment less than nationwide. Currently their unemployment rate is 7.5%.

Foreclosures are starting to slow down in Aurora. If you would like to read more concerning Aurora facts click here http://ow.ly/16ClH7.

Short Sales

Patience is important for the Short Sale process!

A short sale can prevent a seller’s home from going into foreclosure. For the buyer, it usually means you are getting the home at the current market value.

A short sale is when a lender is willing to accept less than what is owed against real property and helps the homeowner pay the bank off and avoid foreclosure. The owner is usually facing foreclosure and not able to pay their bills. The downside for all parties involved is the time it takes to close a short sale. It can take from two weeks to as long as two months to hear back from the lender concerning the purchase offer.

Short Sale Timeline

• Submission of offer and complete short sale package from the seller.
• 10 to 30 days - Bank confirms receipt
• 30 to 60 days – Bank obtains appraisal
• 30 to 60 days – File is examined
• 30 to 60 days – Negotiator is nominated
• 60 to 120 days - Offer is accepted or rejected

Most short sale homes are sold as is as the banks do not want to invest any more money into the property. Lenders can change the terms at the last minute depending on market prices and any new legislation. A buyer does not know what the lender will take for the property until they submit the offer. If there are other offers on the table, that will be taken into consideration by the lending company. Most bankers will consider an offer at 90% of market value.

More to come on short sales!

Clear the Clutter and Sell Your House | Sellers | Real Estate News | Home Finance

Quoted from http://www.realtor.com/home-finance/real-estate/sellers/clear-the-clutter-and-sell-your-house.aspx:

Here are some particular areas you should pay attention to as you declutter.

 

• Keep furniture to a minimum in your living areas so that your rooms look bigger.
• Clear out shoes, coats, umbrellas and other outdoor items from your foyer or mudroom.
• Move out big pieces of equipment, such as guitars, amps, drum sets, or exercise equipment.
• Take down your personal photos and store them for yourself. Let the buyer imagine putting pictures of their own family on the walls, tables and shelves.
• Get rid of old newspapers, books and magazines, recycling if you can.
• Organize your wires in computers, printers, televisions and other electronic equipment so that it doesn’t look sloppy and overwhelming.
• Take away those boxes of tissue, medicines, magazines and other items you might have on your nightstand and keep just lamps, clocks and maybe a book or two on them.
• Edit your bookshelves so that you have a neat, orderly space with books and perhaps a few decorative items, like a vase, globe or other art object.
• Remove everything from your kitchen countertops, keeping only essentials like a toaster. Add decorating items sparingly (bowls of unblemished fruit look nice). And clear off all those magnetized coupons and your child’s artwork from the refrigerator.
• Arrange the shelves in your pantry nicely. Have everything point in the same direction so that it looks neat and organized.
• Get rid of sickly plants and only keep a few healthy looking ones on display.
• Make sure your beds are made and all extraneous items, like clothes, toys or shoes, are off the floor.
• Clear out the bathrooms and spruce them up with some fresh soaps, towels or maybe flowers. Hide your razors, toothbrushes and shampoos out of sight in a cabinet while your house is being shown.
• Clean out your closets so they aren’t packed to the rafters.

Building permits issued during December jumped 10.9%

The number of building permits issued during December jumped 10.9%. This was the largest jump in permits since June 2008.

Housing construction fell in December, but analysts feel it was weather related.

Housing starts were up almost 9% in November.

The market being good for buyers but very bad for sellers will continue in 2010.

To read more of this on CNN, http://money.cnn.com/2010/01/20/real_estate/housing_starts_building_permits/?postversion=2010012012