Menlo Park Condo Short Sale: Get Those HOA Dues Paid

Right now it is estimated that nationally 1 in 4 homeowners owes more on their mortgage than their home is worth. You may be be one of those homeowners.  While not everyone who owes more money than their home is worth is going to sell that home, if they do, it will have to go through the short sale process. If you decide that a short sale is the best option for your circumstances be sure and check with a lawyer and/or accountant to get the best legal and tax advice.  You may find yourself unable to make the payments on the mortgage at all. If you own a condo the situation can get a little more complicated.  

In California the HOA can initiate foreclosure proceedings against a homeowner who does not pay his/her HOA dues.  In addition to that, many banks who are very willing to allow a borrower to do a short sale will not pay any money for back due HOA dues.  

So, if you can not afford your home, if you can not afford your mortgage, if you want to try a short sale, try to find a way to pay the HOA dues. If you do not, you could get to the end of the short sale process and not be able to close because a few thousand dollars are owned to the HOA and since that is a lien against the property the sale will not close.

If you have any questions about short sales, please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

D.R.E.  01191194

Federal Government Disclaimer (MARS): 1. You may stop doing business with us at any time. You may accept or reject the offer of mortgage assistance we obtain from your lender [or servicer]. If you reject the offer, you do not have to pay us. If you accept the offer, you will have to pay us commission as agreed to in listing contract for our services.
2. Marcy Moyer of Keller Williams Realty is not associated with the government, and our service is not approved by the government or your lender; and 
3. Even if you accept this offer and use our service, your lender may not agree to change your loan.

Marcy Moyer Keller Williams Realty Palo Alto, Ca. Specialist in Trust and Probate Sales

Menlo Park Wells Fargo Short Sale Default vs. Eminent Default

I frequently hear the question "Can I short sell my house if I have not stopped making payments."  The answer to this depends on your lender, the investor on the loan, and the phases of the moon.  However, at least right now, if you have a loan with Wells Fargo then at this moment in time they will look at approving a short sale if you have not stopped making your payments.  Wells Fargo has two different review processes, one for currently defaulted and one for eminent defaults.  So if you are currently making your payments, but you have circumstances which will make it impossible for you to make the payments in the future then you are likely to have an eminent default and can potentially qualify for a short sale.  Nothing is for ever, and with short sales there are no guarantees, but it is worth a try.

If you have any questions about short sales in San Mateo or Santa County please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

D.R.E.  01191194

Federal Government Disclaimer (MARS): 1. You may stop doing business with us at any time. You may accept or reject the offer of mortgage assistance we obtain from your lender [or servicer]. If you reject the offer, you do not have to pay us. If you accept the offer, you will have to pay us commission as agreed to in listing contract for our services.
2. Marcy Moyer of Keller Williams Realty is not associated with the government, and our service is not approved by the government or your lender; and 
3. Even if you accept this offer and use our service, your lender may not agree to change your loan.

Marcy Moyer Keller Williams Realty Palo Alto, Ca. Specialist in Trust and Probate Sales

Menlo Park Short Sale Approval Today!!!!!

Well, it has taken a lot of months, and 4 buyers, but I finally got approval today from Chase for a short sale in the Belle Haven neighborhood of Menlo Park.  So far everyone is delighted, and hopefully we will make it through the loan and property contingencies. 

Short sales are sold "As-Is", period. Banks do not allow any credits, repairs, or other consessions for things that are wrong.  That is why I try to get inspections on all my short sale listings before they go on the market. That way there are fewer surprises at the end.

Nothing is a done deal until it is done, but we have come a long way, and my record is still 100% on getting an approval, and hopefully will stay at 100% on closing.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

D.R.E.  01191194

Federal Government Disclaimer (MARS):
1. You may stop doing business with us at any time. You may accept or reject the offer of mortgage assistance we obtain from your lender [or servicer]. If you reject the offer, you do not have to pay us. If you accept the offer, you will have to pay us commission as agreed to in listing contract for our services.
2. Marcy Moyer of Keller Williams Realty is not associated with the government, and our service is not approved by the government or your lender; and
3. Even if you accept this offer and use our service, your lender may not agree to change your loan.

Marcy Moyer Keller Williams Realty Palo Alto, Ca. Specialist in Trust and Probate Sales

Menlo Park Ca Distressed Property Update 12 /3 / 10

Menlo Park, Ca. Distressed Property Update

Are you waiting for a distressed property for sale in Menlo Park so you can snatch a bargain, or are just curious about them? Well, there are a few of these types of sales, but not many. Short sales, as in other places, are more common than foreclosures. Most banks are at least giving homeowners the option to try to do a loan modification or short sale before foreclosing. These options do not always work, but they are worth a try.

Active Short Sale Listings:  8 

Pending short sale listings:  14

They break down neighborhood wise into:

west MP: 1

Central MP: 1

East of El Camino and west of 101: 5

Avenues: 2

Belle Haven: 14

Closed Short Sales since Jan 1, 2010:  17

West MP: 2

Central MP: 0

East of El Camino/West of 101: 1

Avenues: 3

Belle Haven: 11

Foreclosures:

Active listings:  6

Pending:   5

Breakdown by neighborhood:

West Menlo Park: 0

Central: 2

East of El Camino/West of 101: 2

Avenues: 3

Belle Haven: 3

Closed since 1/1/10:  19

Breakdown by neighborhood:

West Menlo Park: 0

Central:0

East of El Camino/West of 101: 2

Avenues: 2

Belle Haven:15

There have been 369 sales of homes and condos in Menlo Park  since Jan 1, 2010 so the percentage of distressed home sales is not enough to have much influence on the market yet, except in Belle Haven.

However, I think that there more may be coming in the next few years.  If you need to sell and owe more than your home is worth I would be happy to have a confidential discussion with you about your options. I am an experienced short sale realtor.  If you are interested in purchasing a short sale or reo property I would be happy to speak with you about what you need to do to successfully purchase one.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

Marcy Moyer Keller Williams Realty Palo Alto, Ca. Specialist in Trust and Probate Sales

Menlo Park Ca Short Sale Green Home at a Great Price!

Welcome to this beautiful Green Home in a friendly enclave of 37 3 year old homes. It features solar panels that produce more electricity than the home uses, an on demand water heater, extensive insulation, granite counters in the kitchen and bathrooms, solid surface bathroom surrounds, wood and tile floors as well as high quality carpets, an attached two car garage, and fenced back yard. All this at a very affordable price and a short sale with an experienced short sale agent and only one loan.  Disclosures available at www.marcymoyer.com

Menlo Park Ca Short Sale Green Home at a Great Price!

Welcome to this beautiful Green Home in a friendly enclave of 37 3 year old homes. It features solar panels that produce more electricity than the home uses, an on demand water heater, extensive insulation, granite counters in the kitchen and bathrooms, solid surface bathroom surrounds, wood and tile floors as well as high quality carpets, an attached two car garage, and fenced back yard. All this at a very affordable price and a short sale with an experienced short sale agent and only one loan.  Disclosures available at www.marcymoyer.com

The Sophie’s Choice for the Short Sale Seller (My apologies to Meryl Streep)

Elizabeth Weintraub, Short Sale Guru, wrote an amazing blog about the short sale process from the seller’s perspective.  

She discusses the issue that when the buyer walks they do not lose anything and can go on and buy another house, but the seller potentially loses everything. They can try to get another buyer and another stab at selling the home, or they could get foreclosed. Getting fore-closed is getting to be the more likely scenario as many banks are refusing to postpone the foreclosure trustee sale or auction once the date is set.  Since so many sellers wait to initiate a short sale until they are really unable to make their payments and are close to foreclosure it does not give them unlimited time to go through the short sale process. Some banks are getting the sales through quickly, but others are still taking many months, especially if there are multiple investors on the loan.

There are two different groups of buyers who are interested in short sales. One is the all cash investor looking for a good deal for future appreciation or current rental cash flow. The other is the end user buyer who is going to live in the home.  There is a lot of debate over which one makes a better buyer.  Some of the pros and cons  for the seller are:

Investor Pro: 

• All cash so can close faster once short sale is approved
• Do not have to worry about buyer not qualifying for loan
• Not going to live in the home so can usually wait for approval

Investor Cons:

• Sometimes the all cash does materialize (they lose it in the stock market or their investor partner says no)
• They find a better deal and walk
• They have no emotional attachment to the home and will only buy if the numbers work for them so if the bank says no they may not budge even a few thousand dollars

End user buyer Pros:

• They want to live in the house so may be more committed to paying what the bank demands if they qualify
• They picked this home out of many others so there is probably something about this home that they want and it is not just a numbers game. This could possibly make them more committed to stick out the waiting period.

End User buyer cons:

• They may need a place to live and not be able to wait for the bank’s answer
• They may not understand the nature of a short sale and have only agreed to buy because they thought it was a good price for what they want.
• They may not get the loan

So what is the seller to do when faced with choices as to whose offer to sign and send to the bank?

There are no guarantees in this business, but there are some things that can help a seller keep a sale together.

Things to do before putting the home on the market that help:

• GET INSPECTIONS.  I know this is difficult financially but someone should put up the money to have a property and termite inspection.   Since the buyer needs to buy the house as is, and many are unwilling to do the inspections before the bank gives approval if the seller or the agent get them done a head of time it is to everyone’s advantage. That way after the bank does give approval there is not another battle of what has to be fixed and how that factors into the price offered and accepted.
• If your home has problems that could make it difficult to get a loan then tell the potential up front .

Things to do after the seller gets an offer:

• Have an open escrow. If the potential buyer will not put money into escrow for a deposit they are unlikely to stick around if the process is delayed.
• Ask for the property contingency to be removed 2 weeks after the offer is signed by the seller.  Make sure that the buyer is ok with the property so that the transaction does not fall apart after the  bank approval due to dry rot, a broken heater, or some other problem. If the buyer is not willing to do that they may not be the right one for the property.
• If there is a loan make sure the agent speaks with the buyer’s lender and that they produce an approval from the bank that is actually making the loan. Unfortunately too many people have been burned by some mortgage brokers issuing pre-approval letters that were not worth the paper they were written on.  If the buyer wants to use a mortgage broker who is unfamiliar with the agent then ask for an approval from a direct lender as well.

None of these things will guarantee that the buyer never walks but these steps do help weed out the buyers who are not great candidates for short sale purchases.

So back to who is better, an investor or an end user.  My personal experience is that a well qualified end user buyer is more likely to stick it out, but when these steps are followed, the difference is not that great.

Why Don't Banks Act Rationally in a Short Sale?

Why do some short sales get approved, and others rejected? 

Why do some short sales with loans from the same bank get approved while others don’t? 

Why do some short sales with loans by the same bank in the same developments get approved while others are denied?

The world of the short sale is changing on a daily basis, and what you know today will be different tomorrow. The rules change, the players change, the documentation changes every minute.  There is, however, one constant: you do not always know whether a short sale will close or not. 

Two years ago only about 5% were closing, now that number is more like 50%. Still, it's quite risky for buyers and sellers to get their hopes invested in a successful short sale when the odds are 50/50.  There are some things you can do to help insure the process has the best chance of closing. 

In general if the following are true then the chances are better:

1.     The realtors on both ends know what they are doing and have the time, energy, and resources to follow up to set expectations appropriately.  The buyer can not be in a hurry!

2.     The fewer the liens the better. One loan is best, two loans with the same bank is second, two loans with two banks third, two loans with other liens such as taxes are probably not going to work out.

3.     The short sale process was started before a notice of default was filed.

4.     The buyer is well qualified.

5.     The home is owner occupied.

None of these things will guarantee a positive result, but they help.  The biggest problem in the short sale process comes from third parties who are not the bank, but either investors that purchased the loans like hedge funds, or insurance companies who insure the loans for the banks (not mortgage insurance for the borrower). 

These entities can derail a short sale, and it is not possible to know if they exist, or what they will say before the process begins, unless of course you are dealing with a bank approved short sale--but that is a different story.  So the lender may appear to be Bank of America or Chase, but the investor who put up the money maybe someone else and if so they have to agree to the price and terms.  Or sometimes the second lender will get more money in a foreclosure and will not agree to release the lien.  When this happens, what appears to be an irrational move by the bank, may have nothing to do with them.

These are a few of the reasons why seemingly illogical things often happen in the world of short sales. 

Marcy Moyer

Keller Williams Realty

DRE  01191914

marcy@marcymoyer.com

www.marcymoyer.com

Facebook Fan Page

Twitter

Yelp

Do You Want to Buy a New Car?

OR: What Hurts More, A Short Sale or One Where There's Still Equity But You Have Lost A Lot

This morning my husband opened up an envelope with information about his stock options. He looked at me and said, “Do you want to buy a new car?” 

My answer was of “Of course not.” He then explained we'd just lost $50,000 in value from his stock options. 

My response? “Don’t be so greedy.”  

We are both working, our mortgages are almost paid off on the house and rental properties, and the stock options are like dessert, nice but not essential. However, it was painful to him to lose that much money on paper.

It made me think of my latest clients.  Some have lost all equity and if they have to sell it will be a short sale. By the time they get to me it is gone, and they do not seem to be concerned about the price as much as the process.  Others who are losing equity when they sell seem to fall into 2 categories: those who are grateful to be able to sell and those who are fighting for every penny and do not seem to see the value in taking an offer to make a sale if it means losing a little more money.

If you are a buyer then your life will be much easier if you can find one of the former sellers. If you are working with a seller who is emotionally invested in every penny they are losing it will be a much more difficult sale.

If you are a seller it is important to clearly understand your goals when putting a home on the market. If you only want to sell at your price, then if your price is market value, you may get it. But if your price is above market, it won’t sell. Period.  

The most difficult part once you understand your financial choices is overcoming the emotional ties to a particular number.  If you want 1.5 million and you only get 1.4 million and life can go on, can you let go of your emotional attachment to to 1.5? If not, this may not be the best time for you to sell.

It is no different if you want 400K and you can only get 380K.  If your life can go on with a lower price and you need to sell, you may have to eat the emotions.  If you are just testing the market, don’t bother. In this environment you will fail. If you focus on your need and not your want you will get to your goal of selling a house much quicker and easier.

Marcy Moyer

Keller Williams

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

Follow Me on Twitter! 

You Can Afford a Green Home in Menlo Park CA: MASSIVE PRICE REDUCTION

YOU CAN AFFORD TO BUY A GREEN HOME IN MENLO PARK

501 Sandlewood St, Menlo Park, CA 94025

JUST REDUCED! UNBELIEVABLY LOW PRICE 

$560,000.00

Welcome to 501 Sandlewood St, a Green Home in an enclave of 3 year young Green Homes in Menlo Park.Conveniently located near the Dumbarton Bridge, gorgeous new office buildings, Mid Peninsula High School, and even a new Starbucks. You owe it to yourself to see how the city of Menlo Park has done a spectacular job on this re-development area, and to see what a wonderful home Clarum has built.

Some of the fantastic features include photoelectric roof panels which keep the PG&E bill to under $500 a year, tankless water heater so you never run out of hot water, tiles made from recycled glass, a lawn that looks gorgeous but never needs watering, granite counter tops in the kitchen and baths, solid surface tub surrounds, a huge master bath with a soaking tub, double paned windows and tons of natural light, walk in closet, and a bonus landing that is great for an extra office or playroom. There is a neighborhood park and a great community surrounding you. All this for under $600,000!

Seems almost too good to be true, but it is real. Don’t miss this incredible opportunity!

GREAT features include:

3 Bedrooms including a large master suite

2 ½ bathrooms with granite topped vanities, solid surface bath surrounds, and tiled floors

A wonderful U shaped kitchen with a gas stove, microwave, granite counters, maple cabinets, tiled floors, and a large pantry

Large, doubled paned windows

No water lawn

Attached 2 car garage

Re-circulating water heater pump

1,640 square feet of living space (per assessor)

3464 square foot lot (per assessor)

Marcy Moyer
Keller Williams
650-619-9285
marcy@marcymoyer.com
Follow Me, Marcyagent, on Twitter!

DRE # 01191194

Hardships and Short Sales

This informative post is re-blogged from Partner First, an online real estate network with resources for buyers, sellers, and agents. This post was written by Jacob Swodeck, and published on his Partner First affiliated blog.

Back to the Basics: Hardship and the homeowner...What will Fly?

Posted by: jswodeck on Jun 01, 2010

Tagged in: Untagged 

What qualifies as hardship in a short sale? I get this question fairly often, and it should be addressed. First, I’ll tell you what does not qualify as hardship, and that is simply being underwater. If you owe more than you are worth, being upside down alone is not adequate hardship to get a short sale approved. That is only half the equation. There has to be a financial hardship.

In nearly every case of hardship I have ever seen, a loss of income has been involved. It could be unemployment, divorce, being laid off, the failure of a business, or any of a hundred other things, but a loss or decrease of income is absolutely hardship. When your expenses remain the same and your income goes down or disappears, you have a case for hardship. You could be a ditch digger paying a $500 per month mortgage or a brain surgeon paying $10,000 per month. If you lose income, hardship is not hard to prove. In rare cases, income has remained the same but the payment has adjusted up, but the mathematical outcome, namely a deficit, is the same.

That is as basic a yardstick as I can find. I’d be surprised to find a more common or less complicated theme.

I can pretty much guarantee that with mortgage investors, Fannie Mae, and Freddie Mac shaking in their boots about strategic defaults that hardship will have to be proven and justified.  It may not be enough to state your hardship.  Borrowers will more than likely have to provide any and all supporting documentation in order to have qualified hardship.


--
Marcy Moyer
Keller Williams
650-619-9285
marcy@marcymoyer.com
https://twitter.com/marcyagent
DRE # 01191194

*thanks to the UK Daily Mail for the image

Menlo Park Ca Open House Sat & Sun 1:30-4:30: A Green Home You CAN Afford

YOU CAN AFFORD TO BUY A GREEN HOME IN MENLO PARK

501 Sandlewood St, Menlo Park, CA 94025

VERY ATTRACTIVELY PRICED AT $598,000.00

Open House This Weekend, Saturday June 26th and Sunday June 27th from 1:30-4:30.

ALL GUESTS ARE ENTERED TO WIN A $100 GIFT CERTIFICATE FOR TIFFANY'S

Welcome to 501 Sandlewood St, a Green Home in an enclave of 3 year young Green Homes in Menlo Park.Conveniently located near the Dumbarton Bridge, gorgeous new office buildings, Mid Peninsula High School, and even a new Starbucks. You owe it to yourself to see how the city of Menlo Park has done a spectacular job on this re-development area, and to see what a wonderful home Clarum has built.

Some of the fantastic features include photoelectric roof panels which keep the PG&E bill to under $500 a year, tankless water heater so you never run out of hot water, tiles made from recycled glass, a lawn that looks gorgeous but never needs watering, granite counter tops in the kitchen and baths, solid surface tub surrounds, a huge master bath with a soaking tub, double paned windows and tons of natural light, walk in closet, and a bonus landing that is great for an extra office or playroom. There is aneighborhood park and a great community surrounding you. All this for under $600,000!

Seems almost too good to be true, but it is real. Don’t miss this incredible opportunity!

GREAT features include:

3 Bedrooms including a large master suite

2 ½ bathrooms with granite topped vanities, solid surface bath surrounds, and tiled floors

A wonderful U shaped kitchen with a gas stove, microwave, granite counters, maple cabinets, tiled floors, and a large pantry

Large, doubled paned windows

No water lawn

Attached 2 car garage

Re-circulating water heater pump

1,640 square feet of living space (per assessor)

3464 square foot lot (per assessor)

Marcy Moyer
Keller Williams
650-619-9285
marcy@marcymoyer.com
Follow Me, Marcyagent, on Twitter!

DRE # 01191194

Menlo Park Ca Open House Sat & Sun 1:30-4:30: A Green Home You CAN Afford

YOU CAN AFFORD TO BUY A GREEN HOME IN MENLO PARK

501 Sandlewood St, Menlo Park, CA 94025

VERY ATTRACTIVELY PRICED AT $598,000.00

Open House This Weekend, Saturday and Sunday from 1:30-4:30.

ALL GUESTS ARE ENTERED TO WIN A $100 GIFT CERTIFICATE FOR TIFFANY'S

Welcome to 501 Sandlewood St, a Green Home in an enclave of 3 year young Green Homes in Menlo Park.Conveniently located near the Dumbarton Bridge, gorgeous new office buildings, Mid Peninsula High School, and even a new Starbucks. You owe it to yourself to see how the city of Menlo Park has done a spectacular job on this re-development area, and to see what a wonderful home Clarum has built.

Some of the fantastic features include photoelectric roof panels which keep the PG&E bill to under $500 a year, tankless water heater so you never run out of hot water, tiles made from recycled glass, a lawn that looks gorgeous but never needs watering, granite counter tops in the kitchen and baths, solid surface tub surrounds, a huge master bath with a soaking tub, double paned windows and tons of natural light, walk in closet, and a bonus landing that is great for an extra office or playroom. There is aneighborhood park and a great community surrounding you. All this for under $600,000!

Seems almost too good to be true, but it is real. Don’t miss this incredible opportunity!

GREAT features include:

3 Bedrooms including a large master suite

2 ½ bathrooms with granite topped vanities, solid surface bath surrounds, and tiled floors

A wonderful U shaped kitchen with a gas stove, microwave, granite counters, maple cabinets, tiled floors, and a large pantry

Large, doubled paned windows

No water lawn

Attached 2 car garage

Re-circulating water heater pump

1,640 square feet of living space (per assessor)

3464 square foot lot (per assessor)

Marcy Moyer
Keller Williams
650-619-9285
marcy@marcymoyer.com
Follow Me, Marcyagent, on Twitter!

DRE # 01191194