Western Mass Homes Lesley Lambert

selling a home

When Foreclosure isn’t the Final Word

This week an article on foreclosures and short sales came out that even I found shocking. Walking away from your home and allowing foreclosure may not be the end of your mortgage obligation.

The article went on to caution that selling your home via short sale does not automatically absolve you of the debt, either. This I did know, but realized upon reading the article I have never shared this important fact with my readers.
short sale

Short sales go something like this (although each one is very unique):
#1- you go into a default position with your mortgage by missing at least one full payment cycle.
#2- you list your home aggressively for fair market value with an agent that understands the short sale process
#3- you contact your lender and stay in communication regarding the status of the listing
#4- you hire an attorney who specializes in short sales
#5- you present offers to the lender for their approval
#6- the lender approves (you hope) the short sale and the house is sold
#7- IMPORTANT: Your attorney should get a signed release of financial obligation from the lender
#8- you move on to rebuild your credit

Step seven, if missed, can mean that the lender will come after you at a later date for the shortfall between what you owed and what the property was sold for. Be sure to discuss this issue with your attorney BEFORE the closing happens!

If you need help with a distressed situation like foreclosure or short sales, I am here to help with empathy and knowledge to give you a helping hand.

Angels and Demons

Last year I decided to work as a home retention consultant. This was one of the most difficult things I had ever taken on because I was going to have to show up unannounced and knock on the doors of people who were in pre-foreclosure and in danger of losing their home.

All About Stopping Foreclosure

Not the most comfortable feeling, but since I had just been through the process I knew that I could help people if I got over my fear of knocking on doors.

Day one arrives and I pull up to the first house. I steel myself with reassurances that I have a service and a will to help. The nerves don’t subside, but I find the strength to knock on the door.

The woman that comes to the door is a beautiful, petite latina and is obviously not expecting me. She meets me on the porch and as I explain to her why I am there and what I hope to help with-she starts crying. The story that I hear includes a cheating husband she is kicking out, an attempt to finish her college degree, a tenant that doesn’t pay rent and all of this is her secret.

We make an appointment to fill out the loss mitigation paperwork and she reaches out to hug me. I have to paraphrase, but she said something like: “I will always remember this day and the way you looked when you showed up to help. You are my angel.”

Inflated and excited by the success of my first stop, I head to my next home.

This time I am met by a short middle aged man with lots of tattoos and a military buzz cut. I begin by explaining that I have an already designated loan modification that will reduce his principle, reduce his rate, restart the loan with no foreclosure and knock $600 a month off the payments. He responds with a tirade and the words “shotgun, burn the *&#()0($#’ing house down and they will have to get me first”.

He tells me to leave and I say that I am sorry I couldn’t help. I head back to the car to program the GPS and I see him heading towards my car. NOW I am nervous as can be. I roll down the window a half inch and let him talk.

He apologizes: I am collateral damage after he has spent countless hours on the phone trying to resolve his issues. He says, “I am sure I am the last person you would want to help after my outburst, but if you would accept my apology and come in, I sure would appreciate that.”

An hour, a pile of paperwork and a phone call later and his loan modification was in process and his house saved.

Vác Gates & Doors - The "Portrait" Collection

Every door is answered by a new story, but they are all so real and they all need help. These are two of the families that will be able to stay in their home because of the home retention program… it is a wonderful feeling to be part of that mission.

Waiting Until Spring to Sell? That may be the WORST thing you could do!

House for Sale in Spring

Are you waiting until Spring to sell your house in Westfield, MA or elsewhere? 

Let me tell you why this is a BAD IDEA:

#1 The rates haven’t been this good for years and it isn’t expected to last for long.  The buyers are looking to get into a home before the rates go up. Visit here for more mortgage information from a Western Ma based lender.

#2 The real estate market “IS” busier in the Spring, but that isn’t a good thing for sellers.  There are a lot more homes for sale, which means more competition for you.  This time of year you have a better chance of being the best home available. If you are unsure of the value of your home visit here.

#3 Buyers who are buying in the winter are serious buyers who have a real interest or need to move right away.  These buyers are ready to make an offer on the right house today.

#4 Home prices are not expected to go up in the next few months.  In fact, the trend for many areas shows that a gradual decline will continue.  Waiting may cost you $$ off your bottom line.

#5 Even if home prices elevate in the Spring, if you are making another purchase after this sale, THAT property will have raised in value, thereby removing any profit you gained. To calculate your next purchase ask me for a free analysis.

#6 Your REALTOR needs the business.  OK, ok…you say, so what if they do?  Well…they have a lot more free time to spend on your marketing right now.  Take advantage of their availability and reap the rewards!

 

If you have a house to sell in the Greater Westfield, MA area be sure to call:

Lesley Lambert, The Real Estate Natural at Park Square Realty

Lesley Lambert, The Real Estate Natural 413-575-3611