Don’t Lie About Your HOA Fees- Your Agent, Bank and Title Company Will Find Out
When you are selling your home in Florida as a short sale you still have to pass clear title to your new buyer.
The title company is going to do a search for any defects on your title such as liens from your HOA ( Homeowners Association) or Condo Association.
The title company also has to order an “estoppel letter” from your HOA. This is a document that contains the verified information from your HOA about what you owe and whether you are current or not. It will contain the amount of money that is going to have to paid to the HOA before they will issue a clearance.
When you list your property with a Wellington short sale agent come clean with us on what you owe and to whom you owe it to. If you say that you are current on all of your HOA fees we are passing that information along to the title company who is then going to need to verify if this is true. So why lie? It won’t help you- in fact, in many instances it can come back to hurt you.
In the state of Florida your mortgage servicers are only required to pay up to a certain amount of your delinquent HOA fees. So that leaves the rest on who?
Telling the buyers at the last minute that they are going to have to pay your HOA fees is a great way to kill your short sale.
You are the one that is responsible for your HOA fees. Make sure that you are at least being honest in what you owe and for how long you have not been making your HOA fees.
Remember also, that in the state of Florida, the HOA can foreclose on your house WAY before the bank does!
Contact Nestor Gasset and Katerina Gasset at 561-753-0135 for a confidential phone interview about your option to do a Florida short sale.
The process involved in a short sale can be very demanding and here are some helpful tips for Florida short sale sellers to prepare you along the way.
Short sales can be very helpful; however, it can lead to critical consequences when not properly done. Let us walk you through the process, give you all the information you need, and provide you with all the necessary tools with our Florida short sale services.
Call Katerina Gasset at (561) 502-1577 today to get your Florida short sale question answered.
Home Affordable Foreclosure Alternatives HAFA Program
The U.S. government created the HAFA program for homeowners in danger of losing their homes to foreclosure.
The HAFA program is known as the Home Affordable Foreclosure Alternatives Program. HAFA is the acronym for this program.
If you can no longer afford to make the mortgage payments on your home this program might help you. The good part about the HAFA program is that IF your mortgage lender participates in the HAFA program you MAY be eligible for up to $3,000 in relocation money given to you at the closing of your short sale or deed in lieu.
Please note that NOT all lenders participate in HAFA nor do they have to. It is a voluntary program for lenders. All the major big lenders to participate as part of an agreement they made with the government when they got their bail out money.
If you have more than one mortgage on your home both of your lenders must agree to participate in HAFA. Many times your second lien holder is not going to be so amiable but that depends on how much you owe them.
Doing a Florida short sale is a way to participate in the HAFA program. Another benefit of the HAFA program is that you will no longer be responsible for the remaining amount that you would owe your lender. When you do a short sale you still owe the difference between what your mortgage amount is and what you sell the house for. HAFA terms require your lender to release you from any obligation to repay that amount of money and also relieves you of them coming after you later for a judgment.
Doing a short sale has less impact on your credit score than a foreclosure. Very seldom is a foreclosure a better option than a short sale.
The bad part is there is government red tape involved which can drag out the process. If you do not turn in one document within their time frame they can and do many times turn down your HAFA eligibility. This is very important to understand. This is also why it is very important for you to choose a Realtor® who is experienced in listing and negotiating short sales.
You can learn more about the HAFA program on the Making Homes Affordable .gov website.
Contact Nestor Gasset and Katerina Gasset for further information about the HAFA program and if it the right fit for you at 561-753-0135. This is a free confidential call. The call is not recorded. We will go over your foreclosure options so you can decide the best course of action to take for your own individual situation.
There are many kinds of short sale services available to Wellington FL homeowners, but not every agent will be capable of offering them all. For your benefit, however, you should take as much time as needed for finding one who can assist you with short selling your home from start to finish.
There are a lot of things to negotiate about if you want to short sell your home. Depending on your circumstances, your agent may have to negotiate with your creditor, insurance company, neighborhood association representative, bank manager, buyer – and the list can still go on and on.
Because of this, negotiation is considered one of the most vital types of short sale services you should look for in a Wellington Florida real estate agent. Without an agent’s effective negotiation skills to back you up, your short sale application can be rejected right from the start.
What do you do if your creditor asks you for comprehensive proof of income? How do you prove that you are suffering from a severe form of hardship? How do you come up with a document to show that your home can only be sold within a certain price range?
You need valid documents for all these problems, but how and where do you start? Without short sale services from a premier Wellington FL agent, you’ll find it easy to feel overwhelmed by it all. You may even be tempted to give up applying for a short sale if you don’t have an agent supporting and motivating you to be patient and persistent.
Marketing and Promotion
It’s important to remember that short sale services are real estate services essentially, which means your Wellington FL specialist would also have to put in hours of work promoting and marketing your house for sale.
• Come up with an Internet marketing strategy for your house for sale
• Design and distribute print advertising like brochures, flyers, and posters
• Organize open houses and assist you in conducting tours for prospective buyers
• Negotiate with agents of prospective homebuyers
• File necessary paperwork to close the deal
The best real estate agents won’t leave you without support when the short sales contract has been signed, sealed, and delivered. But you only have to let your agent know that you need extra help and the best ones won’t hesitate to give it to you.
• Provide you with additional assistance for finding a new home
• Help renegotiate the terms of your remaining balance
• Refer you to a lawyer who can review your contract
Florida Foreclosure Attorney is Disbarred – Another One Bites The Dust
This time it is Fort Lauderdale attorney William Timothy O’Toole. The Florida Attorney General sued the Foreclosure Defense and Loan Modification operation that O’Toole ran.
The Florida State Supreme court disbarred him this week. The disbarrment must last at least 5 years.
In April he was suspended in what is called an “emergency suspension” on the allegation that his business was causing “great public harm”. This is what the court order said.
The name of his company is “O’Toole’s Summit Legal Group” and is in Boca Raton Florida. This company employed sales people who would make calls to homeowners all over the country not just here in Florida. He worked with at least 3,000 clients according to the court order.
These salespeople would charge up front fees of $2,000 to $3,000 and promised to save struggling homeowners from foreclosure. But the law suit says, that this attorney and his company did little to nothing to work on the cases. There are dozens of complaints by homeowners who paid this money and got nothing in return. These complaints went to the Florida Attorney General.
O’Toole has been a member of the Florida Bar since 1992. He has been involved in 20 bar complaints.
In October the Florida Attorney General got a court order to shut down his operation.
The disbarment order also says that O’Toole became partners with a non-attorney named Randy Baker and split his fees with him which is against bar rules.
The order also says that O’Toole led clients to believe that he was handling their cases when in fact, people he hired who had NO legal training were the ones taking care of his clients.
This happens alot where the attorney becomes partners with someone who is not an attorney since the law passed here in Florida stating that only attorneys can accept upfront fees from a client for a loan modification. But attorneys can only charge those fees if they are a part of a bigger case.
We know attorneys who are approached often with these sorts of scenarios. The attorneys we know say this is unethical and they run away from those people who are trying to circumvent the law.
The Florida Bar came out to warn attorneys about joining forces with non-legal businesses who are trying to skirt the law forbidding taking the upfront fees.
Can I do a short sale? It’s a question that many homeowners immediately ask their selves once they hear how this friend or neighbor managed to avoid foreclosure by short sales. Although short sales do happen frequently in Wellington Florida, that does not mean it’s something easy to apply for. Rather, everything depends on your current situation and how good your real estate agent is in handling short sales.
Why do you need a short sale?
If your home loan is provided by Fannie Mae or Freddie Mac, then the qualifications are pretty straightforward and with little room for adjustment unfortunately. On the other hand, if your loan is owned by another company then the qualifications will be largely dictated by your creditor.
If you want to short sell your home in Wellington FL then you usually need to prove that you’re suffering from some sort of hardship. The easier way for you to understand this, however, is to illustrate situations in which you are unlikely to get the approval for your short sale application.
Using your entire lifesavings for the medical expenses of a terminally ill loved one is not overspending, but using several months’ paycheck to travel around the world on your honeymoon definitely is. You can be sure that your creditor will check your most recent financial transactions to determine just
why you’re having such a hard time paying for your mortgage. And if it’s not a good reason, then your chances of short selling your home in Wellington Florida are slim to none.
Your home used to be located in a nice and new neighborhood, but various circumstances had seen it deteriorate into a hive of criminals and drug abusers. That’s bad luck for you, but that’s none of your creditor’s business. They definitely won’t consider it a valid reason for you to be late with your
payments and requiring a short sale.
Yes, it’s true that having a new member in the family would mean more expenses and bills to pay. But pregnancy is a choice, and as far as your creditor’s concerned, it’s a choice with consequences you need to bear with. They don’t consider it a good reason either for applying for a short sale in Wellington FL.
No matter what your reason is for relocating, it has nothing to do with the fact that you have defaulted on your mortgage. Deciding to move out of your house in favor of renting a condominium unit, moving to another town to join your husband, or going back to your parents’ hometown because it’s cheaper
there – all those reasons are unacceptable.
If you are serious about short selling your house in Wellington FL but don’t know how or where to start, let a short sale expert help you out so you finally have the direction you need.
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.
One look at that title and you’re probably thinking it would be unlikely for Florida short sale specialists could still be of help after the short sale of your home has been completed. But actually, if you chose the right short sale agent to represent your home then he or she could still be of service to you even after the ownership of your former home has been transferred to its new owner.
Unsecured Promissory Note
At the very least, your realtor should be able to ensure that you are only signing an unsecured promissory note with regard to your remaining debt.
Let’s say that your home, which you still owe $700,000 on, is now only worth $440,000. As such, when your creditor approves of short selling your home you would still end up with a $260,000 loan balance. If your creditor insists that you still pay this back on some indefinite or definite date, your agent should ascertain that your agreement to pay the debt would only be guaranteed with an unsecured promissory note.
This way, if you lack the necessary amount in the future to pay your remaining debt, your creditor would not be able to confiscate any of your properties right away as alternative payment.
Some Florida short sale specialists don’t stop once they’ve gotten their clients an unsecured promissory note. They also make sure that their clients have all the advantages needed to get them back in the right financial footing and thus be able to pay their existing balance. As such, many agents work hard to convince creditors to accept payment by installment instead of asking for a lump sum.
Discounted or Reduced Payment
In some cases, Florida short sale specialists convince agents to settle for a smaller amount as payment of the remaining debt. In a way, it’s like going through a short sale all over again but this time you are short selling your loan and not your home.
This, of course, is the best thing that Florida short sale specialists can do with their clients. Going back to our previous example, you would be left with a debt of $260,000 after short selling your property. If your agent is able to convince your creditor to waive the rest of your debt then you would no longer have to pay the remaining $260,000. The short sale of your property alone is already considered complete and full payment of your mortgage.
Whichever scenario you end up with, you can be sure that hiring the best Florida short sale specialists would mean your credit record will remain safe and protected from any unwanted mention of foreclosure.