Wellington REOs | Bank Owned | Foreclosures
What is a Wellington REO? Have you heard that term around real estate circles, discussions at family events or your business networking events?
REO is: REAL ESTATE OWNED
This is a term that lenders, banks and other companies use when their assets are real estate. When a bank or other company forecloses on a home, condo, townhome, land or other real estate that entity becomes the owner of those assets. They call that their REO or Real Estate Owned assets.
Bank Owned is: bank owned properties is just what it seems. The bank has foreclosed on a property and is now the owner of the property. When they put that property on the market for sale they call that, BANK OWNED. When you are looking for a property that the bank is selling you are looking for bank owned properties.
That is different than a Wellington Short Sale which is defined here.
Foreclosures: The term “Foreclosure” itself is not a correct term in the form that many people use the word. Many people say they want to buy a foreclosure. It is not a foreclosure they want to buy. They want to buy a bank owned property ( REO) . However, most of the time when you hear the word “Foreclosure”, it is bank owned that is being referred to. “Foreclosure” is defined as the legal process by which a lender takes away the title to a property from the owner of the property.
Currently there are ONLY TEN Bank Owned properties for sale in Wellington or Wellington REOs.
Most of these bank owned properties will be sold to ALL CASH buyers who win in the highest and best offer phase of negotiations on offers presented to the lender. In Wellington you are not going to be the accepted bid on a Wellington REO with a low ball offer or even a list price offer. This most definitely is not a buyers market in this section of the market. The banks are NOT putting their properties back on the market in most cases right after they foreclose. In Wellington few homes are owned by the banks.
The best way to win a bid on your favorite bank owned home is to make your highest and best offer with no contingencies. If this is not something you want to do than perhaps looking for a home that is listed as a short sale in Wellington would be a better option for you.
Wellington Florida Short Sales
Currently there are only 40 short sales that are active on the market in Wellington Florida. There are only 300 active listings in Wellington. That means that only about 13% to 14% of the listings that are ACTIVE in the Village of Wellington are short sales. This is not including parts of Lake Worth that most people still consider and call Wellington.
I don’t remember the last time inventory was this low.
One agent we spoke with the other day who has shown one of our listings said that he had shown another property just earlier where 30 people were looking at the property for sale in Wellington in the lower price ranges below 150K. He and his buyer actually climbed over the property fence to get inside to see the house.
Bidding wars continue as buyers battle to get Wellington Short Sales under contract. Our buyers agents are educating their buyers that low ball offers will not even be looked at. When you have multiple offers coming in you as a seller are certainly not going to accept the lowest bid even on a short sale.
Buyers who are getting FHA financing are in a pickle as well. We had one listing where the FHA appraiser discovered the seller did not have a permit for a room that had been built on to their property. The current sellers did not build the room, they bought it this way with a loan in the days when lenders could care less about permits. Not so anymore. We are running into this over and over again. Only cash offers will work on these types of properties.
If you are a buyer getting FHA financing- make your offer as strong as possible with as few contingencies as you can. You are competing against a lot of ALL CASH buyers.
About 60% of the sales in Wellington are ALL CASH or private equity financing.
Wellington short sales are also not the ugly houses that many buyers envision in their minds. Wellington homes typically are still in pretty good condition as short sales. All of our homeowners who currently reside in their properties take good care of their homes. It may not always be the case if tenants are in the property but overall you can pretty much expect decent showings on Wellington short sales.
If you are looking to purchase a Wellington Short Sale contact our office and partner up with one of our buyers agents who have been trained under Nestor Gasset and Katerina Gasset in short sale procedures. We offer full Wellington Short Sale Services. Contact our office at 561-502-1577.
Short Sales- What Matters Most At The End Of The Day
We never met our seller in person. This short sale was in Royal Palm Beach. It was an investment property owned by a commander in the Navy, a pilot who did not live here in Florida. He found us on our ActiveRain blog and then went to our website to read more about us. When he first called us about listing his property as a short sale we told him that it would not be easy. It would not be easy because he needed the lender to forgive his debt. Many military officers need security clearances and those clearances are compromised by creditors when they are not given a full and complete waiver of deficiency. Because this was an investment property and the property was in the state of Florida- a deficiency state- it was going to be an uphill battle and everyone knew this going into this.
His testimonial that he wrote below tells the story of how this short sale became such a nightmare. Here is a man serving his country, putting his life in danger every day and you will not believe what his lender put him through. We went through several buyers and this became an 18 month ordeal. Each time we went back to the short sale lender they came up with a different excuse about denying the short sale or not giving him the deficiency waiver or requiring too much money to satisfy the request for deficiency waiver. We never gave up. We kept going back to the short sale lender.
One time the short sale lender told us we only had 24 hours to get something signed by the seller. They knew perfectly well that our seller was flying a Navy plane in the middle east. They expected him to find a fax machine in the middle of a sand storm somewhere. He was put through unwarranted stress. We refused to allow him to be bothered while he was in the heat of battle somewhere.
This listing was a lower end listing. We thought about not taking the listing but knowing he was fighting for our country it was the right thing to do. I am sure we are in the deficit on this short sale. But that is not what matters most at the end of the day:
Nestor,I’d be more than happy to write you a little testimonial. This event would have never happened without the persistence, dedication and commitment of you, Giedra and your team.It’s been more than 18 months since we first started this process and I would have given up without you guys driving this thing from start to finish.What amazed me is that you guys accepted this listing knowing the total commission would be a pittance compared to the time and effort that you and Giedra would need to put in.Multiple different buyers and contracts and the bureaucracy and general incompetence of my bank made it a nightmare but you guys made it happen by calling in favors from your contacts in the industry and working the issues diligently.Living in Texas and deploying several times overseas during the process made it even more of a challenge for you. I always felt I really had someone in my corner throughout the entire process and it gave me piece of mind when I was overseas knowing that you guys were doing all you could to help me. I can’t thank you enough.If I ever get back to Florida I will make a special effort to come find you guys and take you to lunch. I owe you both much more than you realize. I could go on and on.Feel free to take bits and pieces of the above and post it wherever you like. I’d be happy to take a call from anyone that wants a glowing recommendation anytime. You guys have thanked me for my service before and I want you to know that you guys have truly given me something that I will always appreciate. Thank you for your commitment to me.Best Regards,Doug RhodesCommander, U.S. Navy
Compared to the task list of a Wellington Florida short sale specialist when working with a homebuyer, his or her duties are usually double or even triple in number if the agent is working with a home seller instead.
To give you a fair idea of how helpful a short sale agent can be, here are just a few examples of the services they can and will perform on your behalf.
Short sale packages – If allowed to do so, your agent will speak with your creditor on your behalf and find out what documents the creditor requires from short sale applicants. Your agent will also make sure that you gather all such documents and be able to submit them on time.
Financial situation – A good Wellington Florida short sale specialist will also take the time to evaluate your financial situation. He or she may also have several recommendations that are meant to make you a more viable short sale candidate in a financial sense. Certainly, your agent will also double check that you have all the necessary financial statements – including pay stubs, tax returns, and bank statements – to serve as further proof that your financial situation is what you said it is.
HUD-1 Settlement Statement – Anyone who thinks of buying or selling a house usually needs to submit this statement. It can look quite intimidating and complex at first glance, but you don’t need to worry about it as long as you have a competent short sale specialist on your side.
BPOs and CMAs – BPO stands for broker price opinion and CMA stands for competitive market analysis. Although these two documents are distinct from each other, they are similar in the sense that they provide information on how “sellable” your property is. Your agent usually has to submit his or her own CMA to a bank and coordinate with the latter when it comes to obtaining a BPO. If you have a great Wellington Florida short sale specialist representing you, then you can be sure that your creditor will receive a valid, authentic and accurate CMA and BPO that at the same time speak of positive thing about your home.
Negotiations – This is extremely important if you have two or even three existing mortgages out. Your agent would have to negotiate with all your creditors as you need everyone’s approval before a short sale can be completed.
Closing – And finally, a good short sale agent in Wellington FL will do his or her utmost to do everything else that has to be done so that you and the other can finally close the deal.
Wellington Florida short sale specialists can help individuals like you qualify to purchase a short sale home. Short sale houses are very much different from regular homes for sale when it comes to its approval process. More often than not, a greater amount of cooperation and collaboration is required between homebuyers and homeowners in order for a short sale to push through. Certainly, there is a higher chance for you to buy your dream house at the right price if you have a Wellington Florida short
sale specialist representing you.
Here are just a few examples of what a short sale Realtor can do for homebuyers.
Review purchase contracts
If you have been provided with a purchase contract by the homeowner or listing agent, you can ask your own agent to review it on your behalf. Of course, your agent’s expertise only extends to real estate concerns. If you have concerns regarding the legal nature of the contract, your short sale Realtor in Wellington FL will likely be able to recommend a lawyer who can evaluate the contract for you.
Submit and process purchase contract
If necessary, your agent can take the appropriate steps for the transaction to push through even when you are not physically present to seal the deal. Purchase contracts may, for instance, be signed electronically and emailed or faxed to the other party. Your short sale specialist will make sure that you’ve done everything needed for the contract to be valid and legal.
Obtain preapproval for loan
Wellington Florida short sale specialists more often than not have the contacts to help you apply for loan preapproval. Once your loan has been preapproved, your agent will also make sure that you will have a preapproval letter to submit to the homeowner and his or her agent. Your Realtor will ascertain as well that the validity period will be long enough to cover the time needed for you to close the sale.
Take immediate care of addendum
An addendum to a short sale contract is basically an additional clause that one of the parties has deemed necessary to include. If your creditor has an extra condition for you to comply with, a good Wellington Florida short sale specialist will be sure to notify you immediately of such changes. If you approve of the changes, your agent will also make sure to secure your signature for the added clauses and have the modified contract submitted, signed, and sealed before your creditor changes his mind
about the whole thing.
To know whether a Wellington Florida short sale Realtor is right for you or not, you need to consider the agent’s suitability based on your preferences and the type of house you live in.
Some personalities simply complement each other while others plainly clash. Naturally, you need to find a Wellington Florida short sale Realtor whose personality would match and complement yours. If you are, for instance, the bossy type then you would probably need someone who won’t be annoyed when your requests still sound like commands. If you are the shy type, then you would probably work better with an outgoing and assertive agent more than capable of speaking on your behalf.
Some homes are simply easier to sell than others. If your Lakeland FL home is larger and more expensive or older and more decrepit than most, then you would probably have a harder time applying for a short sale. And even if you did manage to win your creditor’s approval, you would still have a hard time finding someone willing to buy your property.
For all these reasons you would need to work with a highly experienced Wellington Florida short sale Realtor. An experienced agent will also get more things done in a shorter period of time. That’s something you would no doubt appreciate if you have an urgent need to sell your home or move out.
Specializing in short sales is akin to having significant relevant work experience in the sense that it helps get the job done more quickly. No matter what kind of home you have in Wellington FL, it definitely would not hurt to have a short sale specialist working with you.
An expert short sale specialist would know immediately what to do if you have, say, two mortgages taken out of your home or if your creditor initially disapproved of your loan application. Agents specializing in short sales are also likely to know where and how to quickly find answers whenever they’re confronted by any unusual situation. Overall, that means having less time and money wasted.
Agents tend to have varying communication philosophies. While one agent may not mind speaking daily with their clients, another Wellington Florida short sale Realtor may prefer to contact a client if there is verified interest in his or her property.
Ultimately, you need to find the perfect agent who satisfies you in all the aforementioned aspects. When you do, then that’s exactly the Wellington Florida short sale Realtor you should work with.
Contrary to popular opinion, Wellington Florida short sale Realtors can work with both buyers and sellers. Granted, short sale agents usually work with homeowners wishing to short sell their properties. Nevertheless, there’s still no reason why homebuyers can’t ask for help from this kind of agent if they want to.
What Can Wellington Florida Short Sale Realtors Do for Homeowners?
Let’s start with the easy question and one most readers probably have an idea about its answer. If you have a home you wish to short sell, a Realtor that specializes in this type of real estate transaction can help you with the following.
What Can Wellington Florida Short Sale Realtors Do for Homebuyers?
As mentioned earlier on, it’s uncommon but not impossible for homebuyers to seek the assistance of a short sale specialist. They usually do so for the following reasons.
Whether you have a home to sell or buy, if it is a short sale you are after then you will ultimately have an easier time achieving your objective with a Wellington Florida Realtor at your side.
Another Florida Short Sale Closed- Strategic Short Sales Do Get Approved
We had another successful short sale closing for a property in Smith Farms- Lake Worth- Florida. This was a divorce situation where the judge did order the divorced couple to sell the marital property.
Showing and selling properties with a divorce involved is not always an easy undertaking.
Here is the seller’s testimonial that he wrote for us. He did include his name and position however, we felt in light of the divorce part of this story- that it would be best to delete his name from a public discussion on his short sale.
“Nestor and Julie. Your assistance and guidance during this complex short sale has EXCEEDED EVERY EXPECTATION. The strategy, efforts you have put into this have been incredible. Your efforts put forth are what I expect family to do for one another.
The professionalism both of you demonstrated when dealing with complexities and some drama was pinnacle.
During a recent conversation with a Bank Representative she stated “YOU HAVE THE MOST AMAZING REALTOR.” I can only agree 100%.
THANK YOU for closing this difficult and dark chapter of my life. Because of you Julie, and Nestor I can move forward now. Rest assured I will recommend you to anybody with raving support. “
If you own a home in Palm Beach County, Broward County, St Lucie County or Miami Dade County and you are either current on your mortgage or you are behind in your payments and are looking into alternatives to a foreclosure against your credit and record- contact Nestor Gasset and Katerina Gasset at 561-753-0135 at your earliest convenience to go over your short sale and foreclosure options. Your call is confidential.
Bank of America Lay Offs Heading to Ft Lauderdale
Bank of America announced that they will be laying off 675 people in Ft Lauderdale offices. They are laying off 30,000 employees nationwide. This is about 10% of their work-force.
The lay-offs will being in mid-October and into the end of the year.
The leases at two of their offices in Ft Lauderdale are expiring and they will not be renewing those leases. This is where many of the lay-offs will take place.
Many of the people being laid off work in the loan modification department at Bank of America.
Bank of America is #2 in Florida for deposits only trailing behind Wells Fargo.
However, Bank of America took over a lot of toxic loans from Countrywide Mortgage. They also took over Merril Lynch and settled claims against Merril Lynch for $315 Million. They bought Merril Lynch for $50 Billion.
Bank of America also agreed to pay $11.8 Billion to resolve allegations over foreclosure abuses. Part of the settlement is helping homeowners to refinance their mortgages and help the with foreclosure settlements.
Bank of America has begun to contact about 200,000 homeowners nationwide who may be eligible for forgiveness of their mortgages. You may be eligible for HAFA which gives you up to a $3000 cash incentive at closing. You may also be eligible for Bank of America’s incentive program and get another additional up to $35,000 to do a Wellington short sale.
If you or someone you know is behind in their mortgage payments or soon will be, contact Nestor Gasset and Katerina Gasset at 561-753-0135 to learn more about the different options that may be available to you instead of foreclosure. We rarely suggest that foreclosure is the better option. Think about doing a Wellington short sale.