Short Sales

RISMEDIA, March 17, 2010—Distressed homes are still accounting for more than a third of all sales nationwide, providing evidence that real estate recovery is still fragile at best. While there is no magic bullet for understanding or navigating the short sale process, Realtors who excel at managing these transactions will find success in today’s market. In this month’s Power Broker Roundtable, industry leaders Terry Hankner, Helen Hanna Casey and Larry Hibler discuss how to take advantage of the distressed market.

PHILADELPHIA – March 12, 2010 – With the highly touted federal mortgage-modification program falling short of its target numbers, the government has looked into alternatives to foreclosure and come up with a possible, though not original, solution: The short sale, a transaction in which the lender accepts less than the balance owed on the mortgage.

Beginning April 5, under new Treasury Department rules, short sales will be presented as the potential next step for homeowners who are rejected by or fail to make the grade for the federal Home Affordable Modification Program (HAMP).
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RISMEDIA, March 12, 2010—(MCT)  - By Alan J. Heavens -With the highly touted federal mortgage-modification program falling short of its target numbers, the government has looked into alternatives to foreclosure and come up with a possible, though not original, solution: the short sale, a transaction in which the lender accepts less than the balance owed on the mortgage.

CHICAGO – March 10, 2010 – Citing concerns about increased mortgage fraud, four organizations representing more than 35,000 real estate appraisers have voiced their opposition to changes to an Obama administration program that will encourage “short sales” of homes. The Appraisal Institute leads the coalition that also includes the American Society of Appraisers, the American Society of Farm Managers and Rural Appraisers and the National Association of Independent Fee Appraisers.

According to the most recent REALTORS® Confidence Index, buyers continue to be discouraged with the extended short sale process, resulting in foreclosures that could have been prevented. New resources from the NATIONAL ASSOCIATION OF REALTORS® aim to help REALTORS® and consumers successfully navigate the short sale process to help more homeowners avoid foreclosure.

WASHINGTON – Feb. 22, 2010 – According to the January Realtors® Confidence Index, buyers continue to be discouraged with short sales, resulting in foreclosures that could have been prevented.

“Our members report that short sales are often riddled with delays and red tape,” says National Association of Realtors® (NAR) President Vicki Cox Golder. In response, NAR has created tools to help Realtors understand new laws created to simplify short sales.

The new laws, effective April 5, 2010, implement the U.S.

WASHINGTON – Jan. 12, 2010 – The federal government is setting guidelines for short sales of homes, giving lenders a 10-day limit to respond to offers, freeing borrowers from debt and providing financial incentives to lenders.

The new rules seek to address the many criticisms of short sales and figure to play a significant role in South Florida, where distressed properties dominate the market as the housing slump meanders into a fifth year.

“The cloud could be lifted,” said Domenic Faro of the Fort Lauderdale Real Estate firm.

WASHINGTON – Dec. 1, 2009 – The Obama Administration, through the Treasury Department, announced new housing guidelines yesterday. While a series of announcements highlighted different programs, the National Association of Realtors (NAR) focused on changes that will make it easier for real estate associates to deal with short sales and “deeds in lieu of foreclosure.”

The program’s official name is the Home Affordable Foreclosure Alternatives Program (HAFA), and it’s part of an existing initiative, the Home Affordable Modification Program (HAMP).

WASHINGTON – March 2, 2009 – Real estate commissions are now protected
in some short-sale transactions. In response to Realtor concerns,
Fannie Mae announced that “preforeclosure sales may not be conditioned
upon a reduction of the total (real estate) commission,” providing the
total commission does not exceed 6 percent. The policy became effective
March 1.

Fannie Mae has launched pilot projects in Orlando and Phoenix intended
to reduce foreclosures by pre-approving short sales – agreeing on a
price and the loss the bank will take prior to a deal even being made.
Fannie Mae hopes the program will improve the popularity of short sales
with real estate agents, who now tend to shun such deals.