Since the downturn in the market in 2007, our market has been primarily Short Sales (Selling your home for less than is owed on the property) or Foreclosures. We have been in a distressed market for the past several years and until recently we are now seeing a light at the end of the tunnel. Values are going up and we now have a large percentage of Equity Sales (Selling the home and making a profit). There are homeowners that have fallen behind on their mortgage due to adjusting rates, but are unaware you can sell your home while in Foreclosure.
I recently tried to help a client in Foreclosure and unfortunately he lost his home, along with almost $20,000. Yikes. I saw that his home was in Foreclosure, and that he had about $20,000 in equity. After consulting with him, he decided the best thing to do was to sell, and move. He would rent for a while until his credit improved and we would get him into a home in the future. Sounds great, right? He decided to hold off on selling until after the Holidays. I informed him that time was of the essence, and we should not delay. He contacted me after the holidays in a panic that his home was going to Foreclosure Auction the following day. Unfortunately it was too late, and we were not able to hold off the Foreclosure and his home was sold at Foreclosure Auction. Horrible. Not only did he lose out on the $20,000 he now has a Foreclosure on his credit which will severely affect his ability to own a home in the future. This is very unfortunate, and what I have set out to try and help Homeowners avoid. If you are in Foreclosure or have fallen behind on payments please consult with a Real Estate Professional on your options. You can download a free Foreclosure Avoidance Booklet at www.justlistwithlisa.com.