Foreclosure

Appraisers use sales of homes that were made as arms-length transactions where neither the buyer was desperate to buy nor the seller was desperate to sell as a basis for comparing other similar properties in an area. A foreclosure property does not meet these criteria because of the nature of the legal process that the house is undergoing.

Houses in foreclosure are typically classified as distressed properties, which means that there is something wrong with them that induces the owners to sell for less than the fair market value of the property. In some cases, this might mean a condemned house or one that has been severely damaged or fallen into disrepair.

In such cases, the buyers of a distressed house are able to offer the sellers less than what the property would sell for if it was in a fairly decent condition. But these types of houses are also difficult to compare to other houses in the geographic area that are in better condition or where the owners have no added reasons to unload the property.

Foreclosure cases work slightly different compared to a house that is falling apart or damaged, but the lack of time many people have to sell before losing the home to a county sheriff sale indicates that the buyers have the upper hand in negotiating a beneficial price in order to complete the sale before the eviction.

This is one reason that properties in foreclosure often sell for less than their fair market value or the current market value of similar properties, even if there is nothing physically wrong with them. Appraisers know that the sellers may not even have wanted to sell, which can easily skew comparable valuation data.

Properties owned by banks after a foreclosure auction has taken place are little different. In these types of cases, banks may not take care of the houses, or vandals may strip them for any useful resources like copper pipes, for instance. Banks also do not want to own these properties and are often willing to entertain lower offers.

But again, these types of sales are not between a disinterested buyer and a disinterested seller -- in most instances of foreclosure, the seller is willing to unload the property for just enough to make it worth their while. Owners want to sell to save the house and their credit from foreclosure, while banks just want to unload foreclosure properties from their balance sheets.

Thus, foreclosure properties are not good candidates for comparable sales, except for comparing sales of other foreclosed homes. Appraisers would much rather use home sales that were not done under duress, because a certain home was condemned, sales between family members, or foreclosures. The values have too great a tendency to become distorted.

If you allow your home to be foreclosed or if you sign a Deed-in-Lieu of Foreclosure. Home owners will take a hit of about 250 points on their FICO score. This means if a their FICO score before foreclosure was 680, it could dip as low as 430. A home owner who wants to buy another home after foreclosure will end up waiting about 24 months before a lender will offer any kind of interest rate that makes sense. During that time you must have a near perfect credit.

The affect of a short sale on a home owner's credit report is much less damaging. The negative on credit may show up as a pre-foreclosure in redemption status, which will result in a loss of around 80 points from the FICO score. It can also simply show up as the loan was paid off and not affect your score at all. This means a short sale with a previous FICO of 680 could possibly see it fall to around 600 or it could remain the same.

There are actually companies that will work with you for free to buy your mortgage away from your mortgage company and avoid your foreclosure. I would advise looking into this first.

If you allow your home to be foreclosed or if you sign a Deed-in-Lieu of Foreclosure. Home owners will take a hit of about 250 points on their FICO score. This means if a their FICO score before foreclosure was 680, it could dip as low as 430. A home owner who wants to buy another home after foreclosure will end up waiting about 24 months before a lender will offer any kind of interest rate that makes sense. During that time you must have a near perfect credit.

The affect of a short sale on a home owner's credit report is much less damaging. The negative on credit may show up as a pre-foreclosure in redemption status, which will result in a loss of around 80 points from the FICO score. It can also simply show up as the loan was paid off and not affect your score at all. This means a short sale with a previous FICO of 680 could possibly see it fall to around 600 or it could remain the same.

There are actually companies that will work with you for free to buy your mortgage away from your mortgage company and avoid your foreclosure. I would advise looking into this first.

any thing that is not part of the house (pluming wiring) that you put in is yours stove refrigerator, blinds. most of the time people leave them but you do not have to.

It is possible, but hard. You need to immediately file a reversal of foreclosure sale with the mortgage company. If this doesn't work and the property becomes an REO (Real estate Owned- goes back to investor), then you have other options. If it's a Fannie Mae home, you have options. Options may include having the loan reinstated, you can negotiate a new loan, you can rent from the investor for a period of time and then re-buy the home within a period of time. This is not easy and you should always consult an attorney for legal advice. Foreclosure is not always the end as many people think, it's just sometimes the beginning of a new process.

Visit my website at www.barnett-homes.com for information on homes & rentals in Virgina or email me at bethbarnett@mris.com

They are virtually the same since you don't own that thing any more and they both badly affect your credit. The major difference is that with repossession your "thing/s" are taken away or repossessed by the original owner. With a house in foreclosure you have to leave/move away.

It is a comon deal known as a lease purchase with taking the house subject to the existing financing staying in place.

Has your home been auctioned out ? If not, then you need to speak to a Loss Mitigation Consultant immediatly to help you with this issue. They can provide the help that you need to save your credit, and give you educational options. Call Access Point National at: 704-910-3855 for further assistance. Once a foreclosure has finalized, and they have sold this home, you are left a debt that will remain on your report for 7 years.

Short Sale:

Now, for the sake of argument, let’s say the value value on the property is only $80,000. This is what an investor, someone like us, would be willing to pay for it. If we paid any more, with all the repairs we have to do, holding costs, paying utilities, insurance and taxes on it for a few months then selling to someone else, we would never make a profit on the house – and we are a for profit business. A buyer would not be willing to pay more than the $80,000 value of the home.

This means you can’t sell your house, because you know that you’d have to come up with the 20 grand difference there to pay off your mortgage balance. The lender is not going to sell it unless they approve a short sell. In other words the lender can allow you to sell your house for less than what you owe.

Go to the mortgage company, or the person holding your mortgage, like Wells Fargo, Bancorp South, Citibank or whoever it is here locally. You have been paying 600 or 1,000 bucks a month for the past few years, and hopefully you have built a good relationship with them. You can talk to them and see if they would consider selling less than the mortgage value. This is a short sale.

Foreclosure:

When you bought your house, you most likely signed a mortgage. That is an agreement on your part to pay back your loan according to the terms set forth from the beginning. If you stop making payments for any reason you have failed to deliver on your end of the contract. The lender has the right to take back your home and attempt to recover the money they loaned you by selling the property.

Missing a payment by a day or so is usually not much of a problem. Lenders are human too and most of them offer a 15-day grace period. There may be a late fee, but it beats losing your house. However, if you haven’t paid your mortgage for an extended period, the lender will probably start foreclosure proceedings. It can take anywhere from 2 to 12 months to complete, depending on where you live.

It’s a long and involved process for the lender, and this may give you time to take action and hopefully save your home. Here are three things you can do to get the best possible outcome when facing foreclosure.

If you are thinking of selling your house, We Buy Houses is the place to go. Please contact us.

how can i find out to whom a house was sold

The second will foreclose on your Property.To avoid the situation you must consult a mortgage firm who would assist you in your debt settlements. Why would you stop making your payment? The value of your home should go back up when the economy recovers. The value of your home has nothing to do with your monthly cash flow. Why would you ruin your credit for 10 years, when the value of your home will recover in 2-3 years. It just doesn't make sense. Pay your bills as agreed

Yes and no.

With 20% down on $300,000 ($60K), you would owe $240,000. At 6% over 30 years, that is $1438.92/mo, plus taxes and insurance.

With $60,000/yr income, that is $5000/mo gross.

Just using these figures, $1438.92 / $5000 = 28.76% DTI (debt to income). Add in property taxes and insurance, and the DTI increases. If you also have a car payment, add that monthly payment in.

Lenders will probably give you a loan. The bigger question is SHOULD you do it.

In the current economy, depending on where you live, you could probably get a house on a short sale that is worth $300,000 for a lot less (which varies depending on the lender, and the amount of properties in the area in foreclosure). For example, buy a $300,000 house for $240,000, put 20% down ($48,000). This saves you $60K on the purchase and $12K more in cash to do repairs and upgrades.

It also depends on how stable your income is. It is easy to lose it all without realizing it. I know several people who lost everything ($1M or more in equity) an how tough it is when you get short of cash, even with good credit. Keep as much in the bank as possible. Get a modest house that is big enough, don't go overboard.

This means that foreclosure proceedings have started due to a substantial delinquency of the loan. Once these proceedings start, the bank will no longer accept any funds except for the total amount that you owe. If you pay the total outstanding debt then you have "reinstated" the loan, which means you avoid the foreclosure. Even though proceedings may have started, it won't show on your credit report as a foreclosure unless the home was sold at an auction.

Collateral security is extra security provided by a borrower to back up his/her intention to repay a loan.

Yes. Note that, if the lien proceeded to foreclosure, the buyer at trustee's sale would be in a second position to the first position lienholder. I would advise you to contact a licensed loan counselor or attorney in your area for more specific info on your state's laws. ==Caution== Avoid any person or company who claims to want to help you save your home, other than a state licensed home loan counselor, especially if that person or company comes to you. Don't hesitate to verify the legitimacy of any such agency with the BBB or your state attorney general's office.

You can take your personal property, anything that is not attached to the real estate such as furniture, area rugs, tools, portable air conditioners, phones, computers, appliances that are not built-ins, etc. Of course you may take all your personal property such as your kitchenware, clothes, TVs, tools, furniture, plug in lamps, etc. You may not take built in appliances or bookcases, installed floor coverings, window shades, plumbing fixtures, light fixtures, towel bars, kitchen cabinets, awnings, permanently affixed air conditioning units, etc.

This list is open to modifications.

That means that the cross claimant in the lawsuit was granted a judgment against the cross defendant(s). If the judgment is not satisfied in full immediately, the property in jeopardy will be foreclosed upon.

It usually depends on a Mortgage Bank and also on the individuals previous credit ratings.

It depends on the policies of the lender. You will need to have a conversation about the difference with them.

Your mortgage company does not have the right to seize anything. They do have the right to go through a legal process and sue you for the balance. They may place a lien on other property you own, choose to garnish wages or a variety of other methods to collect. They are not able to seize.

The answer lies within the question genius! The question clearly states what the boy paid for the apartment. Love and light! The Real Estate Guy!

Az state credit union has a program where you can buy just 6 mo after a forclosure if you have 20% down and are current on all other bills.

If you are not behind on your mortgage payments, most likely we will not be able to begin the Short Sale process. We never advise a homeowner to stop making payments. If you are current on your mortgage but are unable to make your payments anymore, contact your lender. This would be a good time to proceed with a Loan Modification. If you do, however, become behind on your mortgage payments, we can assist www. disappearingmortgage . com you at that time.

A deed of lien can be given to you from your lender. If you are having a hardship that is beyond your control, (ie., terminal illness, forced divorce, long term hospital stay and can't work), and it creates a circumstance so that you cannot pay your mortgage and you have to foreclose, then you can write to your lender and request that they give you a deed of lien on your foreclosure. If they accept your request and give you the deed of lien then your foreclosure won't go on your credit. It may help however for the lender to accept your request if they see that you did try to sell your home first.