Why Selling as a Short Sale is Better Than Foreclosure

There has been a lot of questions about how short sales and foreclosure will affect homeowners in the future. Credit Financial Planning Inc., www.creditfixed.com provided some great information for homeowners that are deciding weather to short sale their homes or let them go to foreclosure.

Here are some of the advantages of selling your home as a short sale instead of letting your home be foreclosed on.

1. Fannie Mae Guidelines for Primary Residence Loans- If you short sale your home, you will be eligible for a Fannie Mae backed mortgage after 2 years with no restrictions. With a foreclosure eligibility would be after 5 years with restrictions, and after 7 years with no restrictions.
2. Fannie Mae Guidelines for Non Primary Residence Loans- An investor who has done a short sale is eligible for  a Fannie Mae backed mortgage after 2 years. An investor who has had a property foreclosed on cannot get a Fannie Mae backed loan for 7 years
3. Credit Score- With a short sale, late payments will show up as short as 12 to 18 months after the completion of the short sale. Credit scores can be affected negatively 50 to 100 points depending on how the lender reports it. With a foreclosure, the credit score is typically affected for at least 3 years. Credit scores will be negatively affected between 200 and 300 points.
4. Credit Application Questions (Form 1003)- There are no questions on the credit application regarding a short sale. If you have had a foreclosure you will need to answer “Yes” to question C, section VIII: Have you had property foreclosed upon or given title or deed in lieu thereof in the last 7 years?
5. Credit History- Short sales may or may not be reported on a credit history depending on how the lender reports it. A foreclosure will remain as a public record for 10 years or more.
6. Security Clearance- A short sale does not usually raise red flags regarding security clearance. With a foreclosure, security clearance will usually be revoked.
7. Deficiency Judgement-On a short sale, this is a negotiable issue between the seller and the lending institution. With a foreclosure there are no negotiations between the homeowner and the lending institution. It is up to the lender whether to file a deficiency judgement.
8. Deficiency Judgement- If there is a deficiency judgment on a short sale, the amount is usually lower. The foreclosure process usually will cost the lender more, hence resulting in a larger deficiency judgment if the judgment is filed.

Selling your home as a short sale can be a good option for homeowners who have a financial hardship instead of foreclosure. If you are considering selling your home as a short sale, the first step is to contact your CPA and attorney to make sure that it is the best option for you. The next step is to call Brent and Jill Johnson for more information on how to short sale your home!

Please contact us for more information regarding short sales in South Lake Tahoe. You can also view a current list of bank owned foreclosures in South Lake Tahoe for sale.

Bank Owned Property in South Lake Tahoe on a 43,007 Square Foot Lot!

If you are looking for a project, this new foreclosure listing in South Lake Tahoe is a great opportunity. 1607 Miztec is a 2556 square foot home at the end of a very quiet street on almost an acre. This county home has private setting surrounded by open land and tall pines. A remodel has been started on this home that was built in 1974 and all sheet rock has been removed. Here is your chance to purchase a one of a kind setting in South Lake Tahoe. This bank owned property is to be sold in as is condition. There is a ton of possibilities for this bank owned foreclosure listing!

1607 Miztec Offered at $295,000!

• 2556 square foot “Project” home
• 43,007 square foot lot
• 4 bedroom, 3 bath, 2 car garage
• Bank Owned Foreclosure Listing in South Lake Tahoe
• Endless possibilities!!!

Here is a complete list of all current foreclosures for sale in South Lake Tahoe. For more information regarding foreclosures in South Lake Tahoe or South Lake Tahoe real estate, please call Brent and Jill Johnson at (530) 416-2625 today!

Bank Owned Properties in South Lake Tahoe

The South Lake Tahoe real estate market has seen an increase in bank owned foreclosure listings in the last two weeks. There have been nine new single family bank owned foreclosure listings in South Lake Tahoe in the last 2 weeks, and six new foreclosure listings so far this June.

Currently there are 26 bank owned property listings in South Lake Tahoe, and 17 of them are in escrow. Some of the 9 foreclosure listings that are not yet in escrow have offers pending on them at the present time.

Here are the six new bank owned foreclosure listings on the South Lake Tahoe mls this June: (click on the address for the complete listing description and pictures)

1. 1122 Sundown is a 3 bedroom, 2 bathroom, 2 car garage 1962 square foot home that was built in 1991. This home is in Montgomery estates and has upstairs living, knotty pine cabinets and ceilings.

  2. 1211 Wildwood is a 2 bedroom, 1 bath, 994 square foot home in the Stateline area. This house was built in 1948 and is on a 5009 square foot lot.

 3. 1223 Bonanza Unit 9 is a 2 bedroom, 2 bath, 985 square foot condo located in the Y Area. The HOA fees are $153,450 a month.

 4. 1077 Onnontioga  is a 2 bedroom, 1 bath, 1 car garage, 1040 square foot home. This house is located in the Pioneer Trail area on a 11,400 square foot lot.

5. 1621 Venice Drive is a 4 bedroom, 2.5 bath, 2 car garage, 2068 square foot home in the Tahoe Keys. This is the only current foreclosure listing in the Tahoe Keys area.

6. 2232 Marshall Trail is a 3 bedroom, 3 bath, 2 car garage, 1790 square foot home in the Montgomery Estates area. This house was built in 1998.

 

Click on the following link for a list of all of the foreclosure listings in South Lake Tahoe. For more information regarding bank owned foreclosure listings in South Lake Tahoe please call Brent Johnson at (530) 416-2625.

Bank Owned Properties in South Lake Tahoe

Another bank owned foreclosure has been listed on the South Lake Tahoe mls. 1181 Nottaway has just been listed for $207,000. This house is 936 square feet and has a listing price per square foot of $221.15. The average listing price per square foot for the foreclosures in South Lake Tahoe that are currently on the market is $194 per square foot. This new foreclosure listing brings the total amount of foreclosures on the South Lake Tahoe mls to 25 and 21 of them are in escrow.

 

Great opportunity to earn some sweat equity with this bank owned foreclosure listing in the Tahoe Paradise area of South Lake Tahoe. Located on a flat and sunny 6534 square foot lot in a quiet neighborhood, this would make a great first home or a vacation home. This house is 936 square feet and has 2 bedrooms, 1 bath, and a 1 car garage.

There are other houses for sale in South Lake Tahoe other than foreclosures that are also good deals. If you would like a list of homes for sale in South Lake Tahoe that I think are priced well in a certain price range, please call Brent Johnson today!

New Bank Owned Listing in South Lake Tahoe

This new bank owned foreclosure listing in South Lake Tahoe is priced to sell! At only $154.09 per square foot, this foreclosure is priced well below the competition.

 

897 Tahoe Keys Blvd. Offered at $290,000!

                                                               

Built in 1991, this bank owned home has a bright and open floor plan. This 3 bedroom, 2 bath, 2 car garage 1882 square foot home is centrally located on Tahoe Keys Blvd., and would make a great vacation home. There has been a remodel that was started, but not completed. This house needs flooring, baseboard, some miscellaneous window and door trim, and some other odds and ends. There has also been some landscaping work that has been started and was not finished. This foreclosure listing in South Lake Tahoe would make a great project for someone looking to earn some quick sweat equity!

Other features include:

• Upstairs Living
• Extensive decorative rock work
• 6148 square foot lot
• 1882 square feet
• Tahoe Island Park location
• Ask about loan incentives!

Do not miss out on this great opportunity, this home will sell fast so call Brent and Jill Johnson today! For more information about other bank owned properties in South Lake Tahoe and how to be notified instantly when bank owned properties hit the market, call Brent Johnson at (530) 416-2625.

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