Santa Saves Some Homeowners from Foreclosure with a Great Offer

For some Ft. Lauderdale homeowners that have fallen behind on their mortgages Santa Claus is just around the corner. The issue however appears to be convincing them that accepting the gift is the right financial decision for their financial future.

A new method of settling some of the real estate nightmare has appeared on the scene. Investment companies have purchased some of the non-performing notes of either banks that went bad such as AmTrust, or simply banks that wanted to repackage some of their no-performing loans at a discount in order to clean up their books.

Some of these institution have decided to work closely with Fort Lauderdale realtors to reach out these homeowners and explain to them the opportunity they have to move forward with their lives without a foreclosure judgment. Banks that are still trying to get their arms around a short sale process where in the Fort Lauderdale Real Estate market only about 30% of them ever get to closing. These new note owners are offering a preapproved short sale.

The property owner is offered a preapproved short sale. For their cooperation in the process they will have any potential deficiency judgment waived on the note held by the new investor. In addition they are being offered key money equal to about 2% of their home at closing to help restart their lives.

This program addresses so many issues, that it is a win for everyone involved and I assure you that down the road numerous banks will realize that preapproved short sales have a financial benefit for them and will start embracing this process.

The first and most important issue for the Broward County homeowner is the waiving of the deficiency judgment. Foreclosure is no joke; the judgment that comes along with it can stay with you (with renewals) in the State of Florida for 20 years. Many attorneys will tell you they can fight it, and you can always declare bankruptcy, and for certain people this may be the only course of action that makes sense. However, for many getting their financial lives together as soon as possible is a priority.

Recently I heard Susie Orman (a television financial personality) tell a Florida resident to simply walk away from their home. She told the caller to stop making the payments and walk away. I completely understand the reasoning for this advice and in the long run it may be correct but first you need to call the realtor in your community who is an expert on Short Sales, and attempt to solve your financial issues without a foreclosure or a bankruptcy. If you don’t know who the expert is in your community register on our site, ShortSaleFTL, and we will find you the right person for you. Do not think foreclosure is easy and it ends the day you hand over the keys.

There are numerous other issues that this program addresses but personally I am most concerned about the way it benefits the homeowner. The banks get a chance to get the asset moving without extended period of time that a foreclosure defense attorney can tie up the process in Fort Lauderdale, Florida. The home is usually received in better condition as the process has moved forward while the homeowner is still living in the property and doing their best to take care of it. The homeowner cooperates with the sale often causing a higher sales price being the sale price effects what they receive in key money. Last but not least its great for the community, the long drawn out foreclosure process effect asset values in the neighborhood; it hurts the entire community, and even though the banks or mortgage investors don’t fully understand it hurts them more than anyone as often the same bank was active when many people moved into the area and they hold many of the mortgages. Driving the prices down with neglected foreclosures hurts them over and over again.

If your bank approached you with a release of a deficiency judgment, and key money to end the process I urge you to ask the question, is it time to move on with my life? Cooperate with the process work with the realtor offering you the program to make the timing work for you, as well, and move forward. These programs are really in test mode but if people start to embrace them, maybe some of the larger banks will get on board instead of allowing short sales to go on for more months longer than most buyers are willing to wait.

Remember, you need to speak to your accountant and attorney, but if the home your are considering short selling is your primary residence any tax liability created by working with this program can most likely be waived. If you have heard from your bank with this type of program, work through the process and think of it as a present. I assure you down the road not going to foreclosure will turn out to be great decision.

Eric Miller and Associates are award winning Ft. Lauderdale Realtors with Keller Williams Fort Lauderdale. In you are looking for Homes for Sale in Fort Lauderdale, or thinking about a Fort Lauderdale Condo,the team is always here to help.As Certified Distress Property Experts they can answer all your Short sale questions, or direct you the people who can help you in your area. Please remember for all your Fort Lauderdale Real Estate needs, Eric Miller and Associates are your agents in Fort Lauderdale, Wilton Manors, Oakland Park, Pompano Beach and the entire that Broward area, that know the market and are on your side to work to make your transaction a success in Fort Lauderdale Real Estate.