Central Florida Short Sales: November 2009

What's price got to do with anything?

www.CentralFloridaShortSales.com

Hi folks, Have you noticed that the contract price means absolutely squat these days? Nada. Zilch. It used to be that once a purchase price was negotiated you could be fairly certain that was the price the property would close at.

Not anymore.

Properly pricing real estate has always been one of my strong points. I know the price is right. The Buyers and Sellers know the price is right. The ones having the problem are the Lenders.

It doesn't even matter what side of the transaction the Lender is on. If they are the Short Sale lender they want more money and if they are the Buyer's lender they want to lend less money. Now this really gets interesting when it's the SAME lender!

Recently. I had one of my Short Sales under contract at $100,000. Based on recent comparable sales the agreed purchase price was spot on market value. The Short Sale lender was Bank of America. The Buyer's Lender was also Bank of America.

After waiting for several months Bank of America finally agreed to the Short Sale but only if the purchase price was raised to $107,000. The Buyers, who really wanted the property, had no problem with this so we raised the contract price to $107,000 and both parties signed off on it.

Bank of America then gave us the written Short Sale approval and we moved towards closing. The following week the appraiser came out for the Buyer's mortgage company (Bank of America) and appraised the property at......$107,000. All was well. Until......Bank of America ordered an appraisal review. The value was changed to $97,000!!

After another couple of weeks of negotiating we were able to get Bank of America to agree to do the Short Sale at $100,000 and the Buyer agreed to bring the extra money to closing to get the deal done at.....$100,000. We were right back where we started from. Maybe they just should have accepted my price to begin with. %$#&*^s!!

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

29 comments • Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc • November 23 2009 06:00PM

Will I have to sign a promissory note if I do a Short Sale?

Floirda Short Sale Broker www.CentralFloridaShortSales.com

Possibly. I have found that more times than not the Seller is not only willing to but wants to make a cash contribution or sign a note to get the deal done. It helps them to feel  better about their situation. Most people WANT to pay their bills and honor their obligations

Our job as your Short Sale Agent is to give you, the Seller, the facts and let you make the decision.

Here are two responses recently received from Bank of America and how they were presented to my Sellers.

What Bank of America is really saying is "Yes we approved your Short Sale request now let's work out the details". This is the response we want. Right?

CASE #1

In response to your counter offer, BofA will not budge. They rejected your offer of $500. Below are the 2 options they have given.

OPTION 1: total proceeds of sale toward the 2nd $7,500.00 Can be any combination of proceeds of sale AND 'cash contribution.

OPTION 2: $3,000 proceeds of sale PLUS new deficiency note for $5,000.00, payable at $150.00 each , 0% APR.

We already have $2,350 to give to the 2nd so subtract that from the $7,500 figure leaving $5,150 needed for the first option and for the 2nd option it would require $650 cash and a note for $5,000. The notes are soft which means they have zero interest and they are unsecured.

Now we could try to get the buyer up higher. Although I personally feel this may cause an appraisal issue with their mortgage. The note could possibly be negotiated for a longer term, say 5 years. That would make the payment $83.33. They may even go 7 to 10 years.

Please consider your options and let me know. We need to give them a response no later than tomorrow.

 CASE #2:

I have just received an email from BofA. They are asking you to contribute either $3,000 cash at closing or they want you to sign a $10,000 soft note. The note would be interest free. I would think they would be willing to go either 5 or 10 years. on the note. 5 years would have a payment of $166.67 per month and 10 years would be 83.33

What are you thoughts? The other items are things I would take care of. Please let me know as soon as possible as time is of the essence.

***I am not an Attorney and cannot give legal advice. You are advised to seek competent legal and tax advice. Any decision you make may have negative repercussions.

Now I don't know what these particular Sellers will decide. They may accept the offers or they may want to negotiate. Once they decide I will act accordingly. I do feel that both of these Short Sales will get closed.  Any questions?

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

 

 

14 comments • Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc • November 19 2009 04:36PM

Another Kissimmee Florida Short Sale Approval

 

It only took 7 months BUT we have another Bank Of America Short Sale Approval.

Location:

  • Kissimmee Florida.

Details:

  • Went pending on April 17th at $79,000 all cash Buyer.

Mortgages:

  • $188,000 owed on the 1st Mortgage with Bank of America.
  • $25,000 owed on the 2nd with Real Time Solutions.

Challenges:

  • Keeping the Buyer on board for almost 7 months.
  • The 2nd started out with Bank of America and was sold to Real Time Solutions about 5 months into the transaction.
  • The Seller is an investor than owns multiple properties.

Outcome:

  • Bank of America netted $69,000 (37% of what was owed).
  • The 2nd received $3,000
  • Only $500 cash contribution required from the Seller.
  • NO note
  • Happy Seller. Happy Buyer, Happy Agents

 

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

 

16 comments • Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc • November 13 2009 04:45PM

Foreclosure Tour Kissimmee Florida

Hi folks, Depending on who you listen to the foreclosure rate in Polk County Poinciana Florida is any where from 15% to 20%. I have no problem believing this since roughly 85% of the sales in this area are either foreclosures or distressed sales.

According to RealtyTrac there are 1,401 properties that are in foreclosure (Lis Pendens filed) on the Polk County side of Poinciana. There are 10,685 homes in this area. So let's call the foreclosure rate a minumum of 14%

VIEW ALL DISTRESSED PROPERTIES FOR SALE IN POINCIANA FLORIDA

Here's a little video I made yesterday that will show you what a 15% foreclosure rate looks like. The video was made going about half way down the road and only shows one side of the street.

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

 

14 comments • Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc • November 12 2009 04:04PM

Foreclosure Prevention. Another Successful Kissimmee Florida Short Sale.

Kissimmee foreclosure prevention

Avoid foreclosure. Another successful Short Sale Closing with Fifth Third Bank.

Mortgage amount: $185,000.00

Sales price: $87,500.00

Lender agreed to 3% in closing costs and a 6% commission.

Net to Lender: $77,078.00 (42% of amount owed)

Fannie Mae was the Investor and there was Mortgage Insurance (MI).

Challenges:

  • The Mortgage Insurance company started out wanting $60,000 in any combination of cash and/or promissory note. We negotiated for 2 weeks. The Seller ended up bringing $1,000 to closing. No note.
  • The first Buyer walked after keeping the property off the market for 60 days. The 2nd Buyer closed 38 days after going under contract.

Total time from placing the property on the market until closing: 205 days.

Seller testimonial:

Dear Bryant

"I want to personally thank you for your exemplary handling of our recent real estate transaction. From day one you were a professional; courteously and patiently guiding me through the entire process. Your response time was unparalleled; you responded to my emails and phone calls within minutes, as if I were your only client!

And I believe that’s what every seller (and buyer) wants – to get the idea, or enjoy the feeling, that Bryant Tutas is their exclusive agent! I tried quite a few real estate agents before I finally came to you, and you jumped into action from day one! My property had been on the market for more than a year; within days of contacting you I had my first real offer, and very soon the house was in contract. We just closed a few days ago, and I am so grateful for all your help. Thank you Bryant, for everything!" MARK

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

 

 

14 comments • Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc • November 09 2009 04:10PM

www.ShortSaleSuperStars.com was completely revamped last night!

www.ShortSaleSuperStars.com

Go check the new layout and look for ShortSaleSuperStars. There is one slight problem though........I didn't ask Wendy and she hasn't seen it!!! This look could be very temporary.

So.....am I going to be in trouble? I guess we'll have to wait and see.

Anyway....here are my thoughts.

  • The site needed to have a cleaner look.
  • Wendy and I had talked about getting our "product pitches" off the front page. So I moved the pitches and replaced them with buttons and a "Short Sale Training" tab. We will also be adding a "SuperStar Store" tab that will have tee shirts, mugs and other ShortSaleSuperStar goodies.
  • The wording on and the position of the tabs were changed. It looks more like a news site (I think).
  • The profile questions have been changed. The change was made to make it easier to "Find An Agent"
  • Blog posts now have a new tab "Short Sale News" and the forums are under "Q&A".
  • The tab for groups was changed to "Lender Info".
  • We added an "Agent Referral Map"

These changes were designed to make the site more consumer friendly. We want potential Sellers and Buyers to be able to find us and be able to navigate the site with ease.

So what do you think? Wendy.....do you still love me or am I in trouble. I can fix it I promise.

Please pop over and give us your feedback.

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

7 comments • Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc • November 08 2009 06:44PM

Bank of America Short Sale Approval!!

Short Sale broker

Hi folks, Miracles do happen. After many months of phone calls, updating documents and keeping the buyer on track we finally received an approval to close on a Bank of America Short Sale.

Only one small issue........they approved the wrong Buyer and the wrong contract!!!

So, we start over.

I love Short Sales. I really do. There can be no other reason that I would deal with this crap day in and day out.

Need help with your Florida Short Sale? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

 
26 comments • Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc • November 04 2009 02:23PM