Winter Springs, Florida| Real Estate Agent

Homeowner Associations Getting Out of Control in Florida

Tuesday, March 6th, 2012 at 8:41 pm

Homeowner Associations Getting Out of Control in Florida

Wow – What a crazy week I had. I am writing this article to let everyone know what is going on with Homeowner Associations during a short sale. First off, I want everyone to understand that Homeowner Associations have the right to personally go after each and every Seller regarding their dues and it can become a personal judgment against the Seller.

Many homeowners are behind on their houses payments are being forced into foreclosure. When it comes to a short sale, all liens or amounts due on the property for potential liens will need to be discounted and/or paid off in full. Florida has many properties that have homeowner associations dues. Some have more than one homeowner association.

It use to be so easy to negotiate with the homeowner association regarding the dues owed on a property. A couple of years ago Florida passed a law that guaranteed the homeowner associations one year worth of dues should the house go into foreclosure. This law did not take into consideration what if the homeowner needed to do a short sale. When the law first past, many homeowner associations would not even consider negotiating on the balance due to them during a short sale because they knew that the Bank would have to pay them at least one year worth of dues should the property go to foreclosure.

Recently, I had not just one deal but three deals where the homeowner associations would not agree to accept the short sale discount that the Bank offered. All three properties were under $60,000 and were getting more than 1 year worth of homeowner association dues. The worst part of negotiating with the homeowner associations they request an estoppel fee to be paid upfront for providing the homeowner with the total amount due for homeowner associations fees. The estoppel fee is either paid to the management company and/or an attorney. The price ranges from $100 to $500. This is totally crazy because if you contacted your mortgage company for a payoff their would be a nominal fee of $15 for the payoff figure. Who do you think is paying the fee prior to finding out of they will NOT agree to the discount? We have to guess at the amount due based on what the homeowner informs us and when we know we are getting close to a short sale approval, the estoppel fee is paid by the title company and/or the homeowner. I am now requesting my sellers to pay for the estoppel if they are more than 1 year behind on their homeowner associations dues. In addition, after reviewing the amount due to the homeowner associations, they are including late fees, interest fees, attorney fees, broken blind fees, non-approved tenant fees and more. A homeowner association bill that was originally $900 for late dues is now $21,000 based on the above junk fees. $1,000 for broken blinds, give me a break they can only see the blinds from outside the unit. I do understand they don’t want junky properties however, how would they like boarded up properties or broken windows like there are in many states.

I totally understand that right now it is tough for the homeowner associations as they are taking a big hit due to the non-payers. In addition I feel sorry for all the homeowners whose dues are being raised to cover the homeowners in foreclosure. However, do the homeowners who are current really know what is going on. Do they know that many houses could be sold if the homeowners association would agree to a discount versus allowing the house go to foreclosure which decrease the value of their properties more? I kind of doubt it! If they did, they would be in agreement that having some monies being paid now and a new neighbor paying their homeowner dues is better than waiting the 749 days which is the time line for many foreclosure actions in Florida.

I am still working on two of the three properties dealing with the attorneys from the homeowner associations to get them to accept $4,000 now and a new buyer which would avoid the homeowner going into foreclosure. The last negotiation I had with the attorney for the homeowner associations refused to talk to me and would only speak through her secretary. We were off by $1,800 which the attorney said “have the buyer, realtors and title company take a discount”. It is bad enough that the short sale lender is reducing commissions to realtors to 5% or 4% if you a good enough agent to list the property and find a buyer, now the homeowner associations are working against the people who are helping them stabilize their community by selling their homes. This is totally wrong!

If you are a homeowner and you are going through foreclosure, I would recommend to do your best to keep up your homeowner associations dues or they can come after you personally. If you are a realtor, I would highly recommend that you find out from your homeowner how far behind they are on their dues. If you are a homeowner paying your dues, attend your board meetings and find out what are they doing on short sales. You do have the right to speak at a board meeting.

We are all working together to improve the economy, can we all play nice? I would sure hope so. I did close one of the three deals but had to pay $300 towards the homeowner associations dues. I didn’t like it at all, however, it was the only way to get the deal through. I would have loved to walk away from the deal and tell them forget it. However, there were circumstances that stopped me from doing so. The short sale approval letter was expiring and the bpo value on the property would be expiring too so that would mean another bpo value from the bank and more paperwork from the homeowners plus my homeowner would still have the same problem next time. The buyer had to be out of their place and had given notice so that would mean possibly a new buyer. I am a great negotiator when in comes to playing poker (that is what I call negotiating), however, I knew when to fold and close the deal for the benefit of all parties including the homeowner associations.

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Kimberlee Frank

www.SellFastRealty.com

407-888-3433

Veteran Short Sales his house keeps is VA Eligibility

Tuesday, February 28th, 2012 at 12:05 am

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Veteran Short Sales his house keeps his VA Eligibility

When I moved my office into Winter Springs Centre, in Winter Springs, Florida rented a unit right next to the Eagles Club. The Eagles Club also known as The Fraternal Order of Eagles, The Fraternal Order of Eagles is an international non-profit organization uniting fraternally in the spirit of liberty, truth, justice, and equality, to make human life more desirable by lessening its ills and promoting peace, prosperity, gladness and hope.

I joined the Aerie Eagles Club #4449 which has many members including many veterans. I liked the club because it was a private club, helps so many charities and the fact that it is right next store to my office. I still can remember one of the first times I was in the club and they had the music playing and was questioning “I wonder who is moving in next store?” Someone asked to turn up the music and the bartender said “no” out of respect of the new neighbor. I laughed and said who cares about that new neighbor they won’t care, turn up the music. However, they wouldn’t turn it up until I said I am the new neighbor and I like music please turn it up. That was a beginning of a great friendship with the members of the Aerie Eagles Club #4449.

The more I went into the club, the more questions members would ask about foreclosure versus short sales and how it would effect a veteran and their eligibility. Even though I had done well over 500 short sales, I had never done a VA short sale before and didn’t know what would happen when I did. Now I do know. Here is the the story: I recently represented a Veteran, Patrick, who didn’t know what he was going to do with his house. He had purchased a manufactured home on land for $125,000. He was in foreclosure and very frustrated about the situation. His hours were cut from his place of employment and on top of all the craziness his wife and him separated. The house was in bad shape. There was a lot of water damage by the front bay window causing interior and exterior damage. The value of the home with the land was $25,000.

I tried putting Patrick through the HAFA Program and he was denied the $3,000 because he had vacated the home. However, I did get the bank to agree to the short sale and not go after him for the difference. So, he received a full satisfaction of the loan on his home. I was at the club tonight when he told me that he recently received a letter from Veterans saying “That he still has his eligibility to purchase another home however, could not use that eligibility certificate for 6 MONTHS.” I was so excited for him as 6 months is nothing! He even told me that his credit increased by 15 points because the loan was now paid off. He told me that he can now sleep at night thanks to me and in the future, not that he wants another house now, he can use his VA Eligibility when he wants too.

I told him that if you short saled a FHA loan that the homeowner won’t be able to get another FHA loan for at least 2 to 3 years and that 6 months was great. So, if there are any Veterans out fighting the stress of foreclosure and wondering if they should do a short sale versus foreclosure, I am suggesting that a short sale is better. Why lose your VA Eligibility Certificate when you fought for our country and you deserve to keep it!

Thanks to all the veterans in this world we love you and should you have any questions or need my assistance, call me at 407-888-3433.

God Bless,

Kimberlee Frank

www.SellFastRealty.com

Use a Virtual Assistant for 40 hours free!

Sunday, January 29th, 2012 at 8:55 pm

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Use a Virtual Assistant for 40 hours free!

This Wednesday at 9:00 PM ET/ 6PM PST, I’m doing a LIVE call to show you how to build your team the right way using Virtual Assistants for everything from bookkeeping to appointment setting, data entry to calling your clients, building your buyers list, filling out offers, listing coordination, transaction coordination, flyer creation… and just about anything else you need help with!

I will even show you how to get the first 40 hours for free!

****Absolutely nothing will be sold on this training****

In fact when you attend, you will get a FREE virtual assistant for 40 hours for free.

You don’t need to buy anything to get the 40 hours for Free.

No hype!

No strings!

We are only doing this event live 1 time so don’t miss it.

Yes it will be LIVE for real. Michael AND I will both be answering your questions LIVE as well!

Mark your Calendar:

DATE: WEDNESDAY, February 1, 2012

TIME: 9:00 P.M. TO 10:30 P.M. EASTERN TIME

CLICK THIS LINK TO REGISTER: https://www3.gotomeeting.com/register/380289134

I’ll see you there!

God Bless,

Kimberlee Frank

www.SellFastRealty.com

Probate Personal Representative Short Sales House in Lutz, Florida

Thursday, January 12th, 2012 at 11:41 pm

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Probate Personal Representative Short Sales House in Lutz, Florida

It’s hard enough when a loved one passes away to deal with their estate but did you know that when there is real estate involved in an probate estate, the probate cannot be closed until the real estate is transferred to the heirs. What happens when the house is in foreclosure and the heirs don’t want it? Well, you need to do a short sale and sell the house. If you don’t, it could take the bank years before they complete the foreclosure action stopping the family from having closure.

Sell Fast Realty recently helped a Probate Personal Representative short sale a property. It was simple and easy to process the short sale as the original short sale package wasn’t needed. All we needed was the death certificate of the individual along with the letter of authority from the personal representative. This personal representative tried for a long time to sell the house but no one wanted to buy it.

Sell Fast Realty, Kimberlee Frank and Linda Trimpey, was able to sell the property after a couple of buyers and a few hiccups with delays from the bank. The first buyer couldn’t wait until we received the approval letter and backed out of the purchase. The following day we received the approval letter from the bank. The buyer didn’t care and had moved on. We found another buyer with the exact terms (price and closing costs). The bank then decided to other another value on the property. The negotiator countered the buyer’s offer. However, I provided the new negotiator with the approval letter. He said that it didn’t matter and he wasn’t going to send it to the investor for review. I informed him that the bank was receiving $4,000 more but he said it didn’t meet the investor’s guidelines. He also added that the bank wasn’t going to pay the homeowners association dues and pay the personal representative fee. I said this is ridiculous. I called two different supervisors and after I called for 7 days straight and emailed every contact I had at the bank, I finally got to speak with a supervisor who said “it is approved as is – with the same terms from the first buyer.” The Probate estate did not have to pay any money for a deficiency judgment nor did they have to pay for Sell Fast Realty’s commission. The Personal Representative received $500.00 in order to process the sale. The probate can now be closed and the family can have closure.

If you know anyone who has a Probate estate and needs to sell their property in Central Florida, call Sell Fast Realty at 407-888-3433 and we will be happy to help. Or, if you are a Realtor and need help with your short sales, go to www.ShortSaleNegotiating.com

God Bless,

Kimberlee Frank

www.SellFastRealty.com

www.ShortSaleNegotiating.com

407-888-3433

Road Rage on US-417 in Florida – Do you have a Road Block?

Wednesday, December 7th, 2011 at 9:57 pm

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Road Rage on US-417 in Florida – Do you have a Road Block?

I was driving Saturday night on US-417 minding my own business heading home from a real estate seminar. There were hardly any cars on the road. I watched a car come up behind me and stay behind me for a couple of minutes. He didn’t flash his lights like most inpatient people do, he decided to go around me and then get in front of me and slow down. He didn’t cut me off or anything he just got in front of me. Since I had my car on cruise doing 5 over the speed limit, I had to slow down or I had to pass him. I decided since there were no cars other than the two of us that I would just get in the other lane and put my cruise back on and pass him. All of a sudden when I was coming up to the side of him, he decided to swerve in the lane that I was in and slammed on his brakes. I thought “OMG” what the heck is he doing. I slammed on my brakes and then changed lanes to pass him on the left. He did it again!! I thought “OMG” what is he doing? Is he drunk? Is he mad at me for something? Or … Is he mad at my marketing message on my car (look at the picture of the car). I tried to take a picture of the back of his car with the license plates so that I could report him but he slammed on his brakes so fast, I literally almost hit him as I dropped my telephone. I didn’t even have time to call the police for help!!!

All I wanted to know was WHY? What was his problem? After about 10 minutes of being cut off from lane to lane and him slamming on his brakes, I turned on my bright lights. I was determined that I was going to get next to him and ask him “WHY”? I know many of you would want to pull next to him and ask him are you freakin crazy? Do you have a death wish? Or, pull over and I will really give you a piece of something !@? We finally got a few more cars involved in the Road Rage. I let a few cars pass me, then I got behind them. The cars couldn’t pass him and he boxed me in and … I didn’t get close enough to look at him through his dark tinted windows so I could SCREAM at him. I decided I didn’t have a death wish and whatever the “WHY” was it didn’t matter anymore. What mattered was I wasn’t going to die for him so I had to make a change. Not that I had to give up on where I was going, I just needed to change lanes and move in the same direction. However this time, I needed to be selective as to which speed and lane I needed to go in this is the same in life. It is time for you in life to change lanes and keep going.

Road Rage comes into our life in all forms. What was working in 2008 is not working now. We all need to know when it is time to change lanes and speed back up to get to the finish line. Have you started your real estate career whether you are an investor or realtor and you have run into road blocks? Are you a Seller who has no idea of how they are ever going to own a home again? Are you saying “OMG” what is going on? What should I do? I have decided to have you change lanes to the fast lane and lead you to the finish line. It doesn’t matter what career you are in or what type of real estate investing you are considering as I have done it all and I mentoring on all types of deals and professions or if you are just looking to buy a home again. I want to provide you with the “WHY” that keeps coming up in your vocabulary. I want to personally mentor you for 60 days for Free. Yes, you heard me correctly FREE. I want to start your engines again and take you all the way to the finish line. Our economy is perfect for you to be successful in real estate. Yes, this includes Sellers who have been through foreclosure. All I need you to do is call my office at 407-888-3433 and raise your hand and say “YES, I need to start my engine”. I am limiting this mentorship for the first 30 people and once it filled it is filled. Take Action NOW! Call my office now at 407-888-3433 and let me take you to the next level in 2012. There are no strings attached!

God Bless,

Kimberlee Frank

www.SellFastRealty.com

www.ForeclosuresGoneWild.com

PS. Consider this my Christmas Gift to you!

Short Sale Training for Realtors

Sunday, November 13th, 2011 at 1:27 pm

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Master Short Sales and Increase Your Income for 2011.

Short Sale Training for Realtors

Please join us – December 16th

I am making a special effort to reach out to all of my dedicated and persevering Realtor friends! Do you wish you had more listings? More Buyers? Are you feeling stuck? Are short sales wearing thin on you? Yes, yes, yes, yes!!!!

I value your credentials as a Realtor and I appreciate your desire to conquer the challenges of this market and continue providing excellence to all of your clients. That is the reason for this Special Invitation to you! Please clear your schedule on December 16th from 9 to 4 p.m, so you can LEARN HOW TO MASTER SHORT SALES! See below for the details and pass this on to everyone in your office!

FEELING SECLUDED in your Real Estate Business? You are part of a bigger TEAM! Although we all work for different offices, in different cities and counties, we are one cumulative team and we are making a difference. It’s tempting sometimes to keep our secrets to ourselves or within our own office. But knowing that Greater Orlando has a population of 2,082,421 (according to the U.S. Census Bureau’s 2009 population estimates), and many of them are homeowners…..I feel confident that there is enough success available for all of us to share and prosper!

Be sure to also click here and connect with us now so we can inform you about Free Webinars, Trainings and our weekly Accelerate in Real Estate Tips!!!

This is the reason for my decision to tell my secrets to you, my fellow Realtors, at my Share the Wealth Seminar on December 16th from 9:00am – 4:00pm. I have been in Real Estate since 1998 and have worked multiple markets in different states and have been involved in over 500 real estate transactions. I have secrets that I would like to share with you; SECRETS THAT WILL CHANGE YOUR INCOME!

Please CLICK HERE to hear the secrets on December 16th from 9am-4pm and add wealth to your mind and your pocket and learn:

ü How your office can list and sell short sales in 90 days or less (just like we are!)

ü How to get motivated sellers to call you

ü How to find more buyer leads and build a strong buyer list

ü How to properly list a short sale to get quick and valid offers

ü How to master the short sale process and increase your efficiency so you can handle a high volume of deals

ü How to execute the 13-step process for a successful BPO

CLICK HERE to sign up now!

You pay only: $39.00

HURRY, this code is only valid for the first 30 seats!

Seating is limited to ensure one-to-one teaching and time for personal questions!

Be sure to also click here and connect with us now so we can inform you about Free Webinars, Trainings and our weekly Accelerate in Real Estate Tips!!!

EVENT INFO:

Who: All Realtors

What: Learn to Master Short Sales, Increase your 2011 Income!

When: December 16th from 9:00am – 4:00pm

Where:

Kimberlee Frank’s Office

Sell Fast Realty

407-888-3433

Winter Springs Centre

130 West State Road 434

Winter Springs, FL 32708

www.SellFastRealty.com

www.ShortSaleNegotiating.com

CLICK HERE to map your directions

OFFICE IS LOCATED AT THE CORNER OF WEST STATE ROAD 434 AND MOSS ROAD IN THE CENTER OF THE PLAZA!

Be sure to also click here and connect with us now so we can inform you about Free Webinars, Trainings and our weekly Accelerate in Real Estate Tips!!!

What is the difference of a “Full Satisfaction of Loan” versus a “Lien Release Only” Short Sale?

Sunday, November 13th, 2011 at 12:35 pm

Comments (19)

Full Satisfaction of Loan versus a Lien Release Only

Understanding the outcome on a short sale is vital not only to the Seller but to the Realtor. Below I explain the different types of short sale approvals.

There are two different types of Short Sale Approvals:

Full Satisfaction of Loan
Lien Release Only

A Full Satisfaction of Loan means that you will not owe any more money on this loan after your buyer pays the short sale amount of $90,000. It also means that the lender will not pursue you for a deficiency judgment on the remaining $60,000. A Lien Release Only means that the lender is releasing the lien on the house for a partial payment ($90,000) just so you can sell the property. However, you are still liable for the difference and the bank could pursue you for the deficiency of the $60,000. I suggest reviewing your Short Sale Approval Letter thoroughly and really understand what you are reading. This is what Sell Fast Realty does for you; however, many Agents don’t explain the details to you and by the time you realize that your letter stated a “lien release only,” you are sitting at the closing table.

What happens if the Lender will only allow a “Lien Release Only” for my Short Sale?

Should the short sale approval letter from your lender be a lien release only then you will have to determine which is better: 1) let the house go to foreclosure sale and possibly owe even more later because market values are still dropping and your deficiency could be even greater, or 2) sell the house now with a lien release only. I have represented some sellers who had to make this decision. I have yet to see a seller choose to let their house go to foreclosure sale. If you receive a lien release only, the lender has the right to choose whether they just want to give you a 1099-c form or a deficiency judgment. Again, it is crucial that you thoroughly review and understand your Short Sale Approval Letter.

Can you guarantee a Full Satisfaction on my short sale?

No, but no one can until they receive and review the letter from your lender. There are too many variables such as type of loan, number of loans, hardship, etc. I have had a few lenders request money from the sellers either by a promissory note or by bringing cash to the closing. They may request either of these options or a combination of both. If a seller is in agreement, then the lender will almost always negotiate that deficiency even lower if the seller is willing to contribute by a promissory note or by bringing cash to the closing. If the lender won’t approve the short sale without a seller contribution, your Sell Fast Realty short sale experts negotiate that amount down as low as possible. For example, a Promissory Note would be paid by the seller to the lender at 0% interest for 15 to 30 years at a drastically reduced amount. The highest promissory note amount that any of my sellers have received was $25,000, 0% interest, paid at $70 per month until paid in full.

TWO THINGS A LENDER CAN DO TO THE SELLER – THEY CAN NEVER DO BOTH!

1. Provide them with a Deficiency Judgment

2. Provide them with a 1099

What’s the next step for me?

Take Action Now by calling us at 407-888-3433 or call the Sell Fast Realty Agent who provided you with this Special Report. You can also go online at www.SellFastRealty.com or www.FreeFactsAboutForeclosure.com and fill out the contact information. Please be sure to fill out the form completely for a quicker response. We will contact you personally within 24 hours to tell you how our expert short sale team can relieve your stress….. Our #1 Focus is YOU! I am honored that I can educate you with the true facts about foreclosure. I am sure you have some more questions after reading this Special Report and we look forward to discussing them with you on a personal and confidential call with you.

Kimberlee Frank, Broker

www.SellFastRealty.com

www.ShortSaleNegotiating.com

407-888-3433

Deficiency Judgment or a 1099-C which should a Seller receive?

Sunday, November 13th, 2011 at 12:11 pm

Comments (4)

What is a Deficiency Judgment?

A Deficiency Judgment is the difference in what the property was sold for and what you owed on the mortgage, including interest and attorney fees. Your lender has the right to come back after you for 25 years to collect on the difference. They have 5 years to file a deficiency judgment and 20 years to collect from you…for a total of 25 years.

Many sellers will just give up and walk away from their house. The most famous speech from Winston Churchill was “NEVER GIVE UP, NEVER GIVE UP, NEVER GIVE UP, NEVER GIVE UP and NEVER GIVE UP. When sellers walk away and let their home go to foreclosure, they think it’s over… but it’s not! When you walk away, you are allowing your lender the right to obtain a deficiency judgment and come back after you for the amount owed for 25 years. Our market is not increasing, but decreasing, so by the time your lender gets the house back to resell, you are going to owe even more.

Our company has a high success rate in getting your lender to accept the short sale and waive the deficiency judgment (see Testimonials on www.SellFastRealty.com). Having our Sell Fast Realty team negotiate on your behalf leaves you in control of the outcome of the property. Our #1 Focus is YOU!

What is a 1099-c?

A 1099-c is like a W-2. This is income that you receive. However the 1099-C is what the lender uses to forgive your debt and some sellers are required to pay taxes on this amount. Homestead owners of property only have until December 31, 2012 to take advantage of the Forgiveness Act that President Bush put into place to excuse the owners from having to pay income tax on the 1099-c from their short sale. There are some additional terms; I am not a CPA or an attorney, so I would highly recommend that you contact one. However, many of the homeowners I have helped did not have to pay taxes on the 1099-c.

NOTE: I don’t know if the Forgiveness Act will be extended, so you need to ACT NOW!!

If the property was an investment property for you and you receive a 1099-c, you still may not owe any additional taxes, as it could still be a loss for you. Again, this is a direct question for your CPA to answer.

Many sellers are able to have their CPA file a C982 form which states that “their liabilities outweigh their assets” so they are exempt from paying the taxes. Please talk to your CPA about your specific situation.

What’s the next step for me?

Take Action Now by calling us at 407-888-3433 or call the Sell Fast Realty Agent who provided you with this Special Report. You can also go online at www.SellFastRealty.com or www.FreeFactsAboutForeclosure.com and fill out the contact information. Please be sure to fill out the form completely for a quicker response. We will contact you personally within 24 hours to tell you how our expert short sale team can relieve your stress….. Our #1 Focus is YOU! I am honored that I can educate you with the true facts about foreclosure. I am sure you have some more questions after reading this Special Report and we look forward to discussing them with you on a personal and confidential call with you.

Kimberlee Frank

Broker and Short Sale Negotiating Expert

www.SellFastRealty.com

www.ShortSaleNegotiating.com

407-888-3433

Does a Seller have to pay closings costs and Realtor commissions on a Short Sale?

Tuesday, November 8th, 2011 at 12:52 pm

Comments (18)

Does a Seller have to pay closings costs and Realtor commissions on a Short Sale?

NO, you don’t have to pay closings costs and realtor commissions on a short sale! On a short sale, even though you are the seller, the lender allows certain fees to be paid out at closing that normally the seller would have to pay, i.e. title work, transfer tax, Realtor commissions, etc. Sometimes the Realtor fees are reduced in order to sell the property on behalf of the seller. That means that our service is absolutely FREE to you, as your lender(s) allows the Realtor(s) to receive commission on the sale of the property. If we don’t sell your house then we don’t get paid.

What price, condition and location does my house have to be in order for you to help?

We have negotiated and closed short sales on homes in any location (primarily throughout Central Florida), price and condition. In all of our purchase contracts we put the following clauses:

“The seller is selling the property AS-IS, with no contributions for repairs.”
“The buyer will turn on the utilities for inspection.”

These provisions in the contract make the buyer pay for all the repairs to the home that may be necessary for the buyer’s mortgage approval, and the buyer pays to have the utilities turned on for inspection, should they not already be on.

Can I back out of the Short Sale?

We always put a provision in the contract that gives control to our sellers that states “This offer is subject to the lender taking a short sale acceptable to the seller and waiving the deficiency judgment.” Should we obtain a short sale but there is a deficiency judgment, then you can choose not to sell the property – You are in control.

What’s the next step for me?

HAFA Short Sale – Can I get $3,000 from HAFA to move?

Tuesday, November 8th, 2011 at 12:40 pm

Comments (7)

Will my Lender pay me any money to move with the HAFA program?

The Home Affordable Foreclosure Alternative (HAFA) program does allow a relocation fee of up to $3,000 paid to the homeowner if they claim their home as a homestead exemption. The HAFA program does not apply to investment properties. The deadline for the HAFA program is DECEMBER 31, 2012. If you are considering a short sale and you would like to be paid $3,000 through the HAFA program to relocate, please call us immediately as it takes time to do the short sale. There are other requirements such as having a utility bill in your name and having occupied the home within the past 12 months. The HAFA terms are subject to change based on your loan.

The HAFA program does put a stipulation on participating lenders (not all lender participate in this program), that they will accept the short pay with a full satisfaction of the loan and not go after you for the difference known as a deficiency judgment.

There is a stipulation put on the buyer of the property that they will not resell the property for 90 days. If an investor was going to buy your house to fix it up and resell it, they would have to own the house for 90 days before reselling it. Sometimes, there is not enough profit to the investor to do that, so it is very important when using this program that the buyer is fully aware of the lender’s stipulations. As your Realtor, we pre-qualify all buyers to let them know the lender’s requirements including the HAFA program. This prevents the so-often-heard scenario of sellers getting their short sale approval letter and then the buyer doesn’t qualify to buy the property and the entire file gets shut down and you have to start all over again.

At what point during the short sale process, should I move out of the house?

This will vary per situation. I have homeowners stay all the way to the week before the closing and I have other homeowners move out right away. Do you have family or friends you can live with or are you going to rent somewhere? Most people never even think about the fact that they may not qualify to live somewhere else due to their credit. If you are not going to do a loan modification, you need to find a place to live now while your credit is decent. We suggest that you submit rental applications as quickly as possible. Many people are actually renting bigger and better homes, sometimes even in the same neighborhood.

Many homeowners will stay in the house to the last minute thinking that they are saving money. This could actually cost them money for various reasons and by that time, they may not qualify to rent a new house. If the house goes to foreclosure for $150,000 plus attorney fees etc. and the house could have sold for $90,000, it cost the homeowner $60,000 to live there. Remember everyone’s circumstance is different and you need to make sure to protect you and your family.

What’s the next step for me?

Take Action Now by calling us at 407-888-3433 or call the Sell Fast Realty Agent who provided you with this Special Report. You can also go online at www.SellFastRealty.com or www.FreeFactsAboutForeclosure.com and fill out the contact information. Please be sure to fill out the form completely for a quicker response. We will contact you personally within 24 hours to tell you how our expert short sale team can relieve your stress….. Our #1 Focus is YOU! I am honored that I can educate you with the true facts about foreclosure and we can see if the HAFA program is for you. I am sure you have some more questions after reading this Special Report and we look forward to discussing them with you on a personal and confidential call with you.

Kimberlee Frank

Real Estate Broker & Short Sale Negotiating Expert

407-888-3433

www.shortsalenegotiating.com

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Short Sale Training for Realtors

Will my Lender pay me any money to move with the HAFA program?

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What’s the next step for me?

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