Laura Miller\’s Blog

Homeowner Workshop at Wachovia

I™ve just sold a property at 8855 N. Winding Way in Fair Oaks. Come and visit my site to see other properties in that area. If you are interested in looking for or selling your home, please Contact Me.

I™ve just sold a property at 8855 N. Winding Way in Fair Oaks. Come and visit my site to see other properties in that area. If you are interested in looking for or selling your home, please Contact Me.

Not much of a blogger… Sorry, I am sincerely trying…   Doesn’t mean I don’t have much to say… Got lots… Many new developments in real estate now.   Short sales are getting pushed through faster – however, Wachovia still reigns supreme for turn around time.   Just had two written approvals returned on my Wachovia Short Sales within a week.     Still many real estate professionals avoid short sales – so often I hear from other professionals “I don’t do short sales.”   I just thank them – I earn all their lost business.   Lending has been the biggest challenge for most transactions, of late.   Underwriters are swamped; processing is behind; close dates are being pushed out by sometimes 3 weeks.   Wow – that can be huge when buyers may be forced to pay a per diem of $50 – $150 a day for late close.       Not only are underwriters behind with processing files – but they fine tooth comb everything.     Letters of explanation for the letter of explanation – oh and another for that one too.   Yikes.   Buyers, finally thankful of not being outbid (yet again), are cooking along with the escrow and BAM – lending comes to a screeching halt: debt to income ratios off; paper trails of down payment funds required; mello roos?; and hmmmm what else can I dream up – oh yeah, let’s send the appraisal for review (another 2 weeks).   So, you gotta trust your lender.   They are as much a key element to this process as the real estate professional you hire.   It is the wild west of real estate out there – today’s recommendation “Arm Yourself With the Best Weaponry Before You Go Into Battle…”

Happy Thanksgiving….

I have managed and transacted on many short sales this years, for both buyers and sellers.   I also utilize the services of a professional negotiator to expedite the process.   As some may already know, there is nothing “short” about the process of a short sale.   The term truthfully relates to the “short payoff” that the bank must approve in order to complete the sale of a home that is “underwater” and “upside down.”     Generally speaking, the approval process can take anywhere from 2 months to 6 months, potentially longer.   In the meanwhile, buyers are lost, sellers become extraordinarily impatient, and time continues to drag on with days on market for the home desperate for a new owner.   There is definitely no immediate gratification; no immediate approval; just wait.   Well Wachovia, for me, set a new approval record.   I represent the seller in this case.     The package was prepared for the bank, the purchase contract was received by the expectant buyer, and the entire package was delivered to the bank – Wachovia, in this case.       To all of our amazement, Wachovia contacted me within a week to set up an appointment at the home to complete a brief interview and BPO (Broker Opinion of Value) on the home.   Within days, we had our official appraisal.   Within 2 weeks, we had our approval in writing from the Wachovia, enabling us to open escrow and commence with the actual sale of the home.   We (buyer, buyer’s agent, seller) fell over.    

 So, clearly, some banks are getting the message: Let’s redirect some of our efforts from REO, Asset Mgmt, division, to our short sale division, avert the imminent foreclosure market, and begin to stabilize the valuations in our real estate market place.   Everyone wins.   Buyers get a great home at an REO price, Sellers save their credit, banks experience less of a loss in a declining market, real estate values stabilize.  

 I’m All In….

Like most professionals, I wince at the term “short sale.”       Rather ironic, since all my listings are “short,” and I have become somewhat of an expert in the process.   Why then, do we wince?   Since the process is all but “short.”   It is  lengthy (2 mos plus); grueling (boils down to less than minimum wage); and it is hard to maintain one buyer through the entire process (they usually lose interest after 2 mos).   However, troubling as they can be, they will be wave of sales for possibly the next five years, and they are the only hope of redirecting the continued surge of bank owned homes.   If we can sell these homes in advance of the bank foreclosing, we can (I’d like to think) all work at stabilizing the market and home values, consequently.   Also, the benefit of a short sale to a seller is 2 year credit hit, rather than a 7 year credit hit as a foreclosure.   I have one seller whose credit rebounded to the high 600 range after 2 mos post short sale.   Conceivably, he can go out and buy another home.       So, I have decided to take one for the team.     I am going to actively pursue short sale listings.   I know there are homeowners out there who don’t understand their alternatives or afraid and embarassed to address them.   If you are reading this blog and have questions, send me an email….

Check out this new property that I just posted on my Web site. It is at 8855 N. Winding Way in Fair Oaks. This property has 5 bedrooms and 3 baths.

Welcome to Laura Miller’s Blog! This blog will provide you with valuable information, tips, and general insight into the real estate market in Fair Oaks. Visit my website at http:/www.finehomesbylaura.com