On April 25, 2014 Michael Gaddis of Michael Gaddis, J.D. Realty Group closed a short sale transaction at 2954 Rangpur Ct. in Escondido, CA. Nearly all short sales are filled with issues and problems. The transaction at 2954 Rangpur Ct. was no exception. The servicing of the loan was transferred during the short sale process. The servicing started with Bank of America then transferred to Resurgent. The transfer caused the short sale process to become longer than normal. Three (3) different buyers backed out due to the time required for negotiations. The property was also encumbered by a 2nd trust deed held by Nationstar.
Built in 2006 the property had 4 bedrooms and 3.5 baths all within 3,198 square feet. The challenge in selling this home was the fact that the property was saddled with over $3,700 in annual Mello Roos. Buyers were either unwilling to take on the extra financial obligation or the extra monthly Mello Roos allocation disrupted their qualifications to purchase the home by increasing their overall debt-to-income ratio.
Finally a very nice couple purchased the home utilizing a VA loan. Both were active members of the military and both fell in love with the home. They offered $435,000 and both Resurgent and Nationstar accepted the terms of the short sale.
Selling a short sale is also challenging because once buyers know that the property for sale is a short sale, they rarely want to pay fair market value for it. Instead, they are looking for deals. This buyer mentality makes it extremely difficult to obtain offers anywhere near fair market value. As a result, appraisers and real estate brokers take distressed sales into account when attempting to determine the value of a property.
Selling short sales is not an easy task, especially if multiple lien holders are involved. This task is even more difficult when borrowers are facing foreclosure. Even though homeowners are protected by California’s Homeowners’ Bill of Rights” the protections for short sale do not come into play until the short sale lender has issued an approval letter. Fortunately, Michael Gaddis is an attorney as well as a Real Estate Broker so he is very capable of dealing with nearly any issue that might arise during the short sale process.
If you are a homeowner seeking to sell your home contact Michael Gaddis today to schedule a free in-home consultation. Whether you are seeking to sell your home and have equity or if you are forced to sell via a short sale it is important to get the best representation possible. Michael Gaddis offers homeowners all of his skills and knowledge as an attorney, real estate broker and NMLS licensed mortgage broker for the same price as a normal real estate agent. Michael Gaddis’ marketing skills are state of the art and are highlighted in his Platinum Marketing Package.
Michael Gaddis serves all of San Diego County but specializes in North County. No matter where you live let Michael Gaddis be one of the real estate agents you interview when deciding whether or not to sell your home. You can contact Michael Gaddis at 760-696-1425 or by email at Michael@MichaelGaddis.com.