Palm Springs Short Sales: Are Lenders So Desperate They Will Accept Any Offer?

Palm Springs CA – Have you heard the following myths about short sales?

Myth #1: You can buy short sales for dirt cheap and then turn around and resell them for a profit.

Myth #2: Foreclosures, Short Sales, and Bank Owned Homes can be bought for 30 to 50 cents on the dollar with no money down.

Discover how other sellers successfully did a short sale to avoid foreclosure by clicking here.

Myth #3: Lenders will accept any short sale offer even if it is for only 50% of what the home is worth. After all, they don’t want a foreclosure on their books.

These myths are just not true. Lenders are willing to foreclosure on properties. They have entire departments handle the sale of properties that they have foreclosed on.

Another foreclosure is nothing to fear. At the same time, they do prefer short sales. Short Sales are known to reduce a lender’s loss compared to a short sale.

They have high paid actuaries who have run the numbers and proved that to be the case. That means they take a pragmatic approach on short sales.

They want to make sure that he short sale offer isn’t lower than what the home would sell if they foreclosed on it. That is why they order an appraisal before accepting the offer.

They won’t agree to a sale if the offer is for substantially less than the appraised value. If the offer is 5% lower than the appraisal, then they might accept it.

If it is substantially less, then they will ask the buyer to raise their offer to the appraised value.

Another thing lenders check before approving a short sale is that they aren’t approving a short sale for someone that is able to afford their home.

They don’t want to lose money on a short sale when they can make money when the person repays the loan. Thinking about a short sale?

We can help you short sale your property and never pay the bank another penny. Send us an e-mail at info@bestdesertforeclosures.com. We will contact you for a free consultation.

When we talk, we will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call us at (760) 624-8282.

Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.

Thinking about a loan modification? Our Palm Springs loan modification kit has the instructions you will need to get a loan modification approved with your bank. Click here to request a copy.

Thanks for reading this, Paul & Ron, The REO Squad.

Paul & Ron are Real Estate Agents at Re/Max Real Estate Consultants.

Phone: (760) 624-8282. info@bestdesertforeclosures.com.

Paul & Ron specialize in loan modifications and short sales in Palm Springs California. Palm Springs Loan Modification Help. Palm Springs Short Sales. Palm Springs Short Sale Realtor. La Quinta Loan Modification Help. La Quinta Short Sales. La Quinta Short Sale Realtor. Palm Desert Loan Modification Help. Palm Desert Short Sales. Palm Desert Short Sale Realtor. Rancho Mirage Loan Modification Help. Rancho Mirage Short Sales. Rancho Mirage Short Sale Realtor. Coachella Valley Short Sale Realtor. Palm Springs CA Short Sales. Palm Springs Realtor.

Palm Springs Short Sales: How to know when the short sale negotiator is lying to you

Palm Springs CA - Negotiating short sales is tough. In our opinion, some of the banks are not making good financial decisions. "We won't approve the file without the financials completely filled out," they say.

Or, they tell you the numbers won't work when the investor guidelines actually say to approve the short sale. If the agent doesn't know who owns the loan (or their short sale guidelines), then the bank negotiators can lie to them. They don't know any better. Let us give you an example.

Discover how other sellers successfully did a short sale and request a free consultation by clicking here.

The Stop Foreclosure Institute recently closed a short sale that where the owner of the loan was the Federal National Mortgage Association, also called Fannie Mae.

The bank's appraiser said the home was worth 220k. Because of prior experience with Fannie Mae Short Sales, we knew what they would accept as a percentage of the value. The short sale offer being presented would net them $6,000 more than that number.

The negotiator countered. She said the buyers needed to pay even more for the house. We asked the buyers if they would raise their offer.

They told us that it was their highest offer. They had looked at a bunch of other homes for sale. If their offer wasn't accepted they already had another home in mind that they would purchase.

Most agents don't know the guidelines for short sales. They would have taken the short sale negotiator at face value. As a result, the short sale would have been rejected.

The buyer would have bought the other house and the seller would be at risk of losing the home to foreclosure.

Fortunately, we knew the short sale guidelines. Because we knew the numbers and the guidelines, we were able to push the negotiator for an approval. The file was approved and the sale closed a little while later.

Thinking about a short sale? We can help you short sale your property and never pay the bank another penny. Send us an e-mail at info@bestdesertforeclosures.com. We will contact you for a free consultation.

When we talk, we will explain how the process works in detail. If you prefer, then you can call us at (760) 624-8282.

Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.

Thinking about a loan modification? Our Palm Springs Loan Modification Kit has the instructions you will need to get a loan modification approved with your lender. Click here to request a copy.

Thanks for reading this, Paul & Ron, The REO Squad.

Paul & Ron are Real Estate Agents at Re/Max Real Estate Consultants.

Phone: (760) 624-8282. info@bestdesertforeclosures.com.




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Springs Short Sales: What to do after the lender rejects the short sale offer

Palm Springs CA - What do you do when the house won't sell for any more money, but the bank keeps on rejecting the offers? You can give up, but the seller may lose their home to foreclosure.

Ouch! Why not escalate the file and get it approved. Here's an example of how it worked for the Stop Foreclosure Institute.

Discover how other sellers successfully did a short sale and request a free consultation by clicking here.

We had a house on the market for 4 months. We started the price at $200,000 and slowly brought it down to $169,900. We finally got an offer for $159,000. Since we knew the bank's appraiser's valuation, we knew the offer wouldn't work.

The bank's appraiser said the house was worth $195,000. Yes, after we had had the house on the market for 4 months. Because we knew the loan owner's guidelines, we knew that that current offer at $159,000 didn't have a shot at getting accepted.

In order to get this file thru, we had two things to do.

1. Convince the bank that their valuation was inaccurate and that they should order a new value.

2. Escalate the file.

To handle Part 1, we sent our own opinion of value, also called a Comparable Market Analysis, along with comparable homes for sale. We explained that the valuation they were using was inaccurate and that they needed to order another one.

Here is what we did for Part 2. Then, we asked for their supervisor's contact info. Remember, most of our communications are e-mail. Two-thirds of the time they will e-mail me back the supervisor's info. The other one-third of the time they will just start doing a better job on the file.

If the new bank appraiser's valuation comes back within range, they will approve the file and we can close. On the subject house, the new appraiser's valuation came back within range. We received an approval on the short sale and it closed a little while later.

Thinking about a short sale? We can help you short sale your property and never pay the bank another penny. Send us an e-mail at info@bestdesertforeclosures.com. We will contact you for a free consultation.

When we talk, we will explain how the process works in detail. If you prefer, then you can call us at (760) 624-8282.

Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.

Thinking about a loan modification? Our Palm Springs Loan Modification Kit has the instructions you will need to get a loan modification approved with your lender. Click here to request a copy.

Thanks for reading this, Paul & Ron, The REO Squad.

Paul & Ron are Real Estate Agents at Re/Max Real Estate Consultants.

Phone: (760) 624-8282. info@bestdesertforeclosures.com.

Paul & Ron specialize in loan modifications and short sales in Palm Springs California. Palm Springs Loan Modification Help. Palm Springs Short Sales. Palm Springs Short Sale Realtor. La Quinta Loan Modification Help. La Quinta Short Sales. La Quinta Short Sale Realtor. Palm Desert Loan Modification Help. Palm Desert Short Sales. Palm Desert Short Sale Realtor. Rancho Mirage Loan Modification Help. Rancho Mirage Short Sales. Rancho Mirage Short Sale Realtor. Coachella Valley Short Sale Realtor. Palm Springs CA Short Sales. Palm Springs Realtor.