About Short Sales

In the first place you have to get around the non-assignment clause that most banks have in their contract. When I buy foreclosures, I either double close or I make sure I have the money (from multiple hard money lenders) to wholesale my deals even if I have to close on them before I actually found a buyer.

With that being said, I focus on foreclosures that have been on the market a good while - 100 days or more really. Seems to be a good point to make offers when the banks are ready to negotiate.

I also always get thirty days before I have to close. I start marketing the property before I sign the papers, just a habit I have. Meaning, once the realtor tells me I have the property I immediately start marketing.

In a large city there will be a lot of REO agents but only a few of them move most of the deals in the area. You definitely want to build a relationship with these people. You will know you are talking to a big REO dealer when you make a low ball offer and they don’t even blink. They want you to do it because they know that the more low offers they will submit, the faster the bank will negotiate, the lower the price will get and ultimately the property will sell faster.

A lot of the small time realtors are morons and don’t understand this. They think they are the bank and tell you the bank wont take the offer before they submit it. I am quite direct and explain to them that they just need to do their job and let the banks decide. I try to be nice, and most of the time I am, but every now and again I get pissed at them and have to verbally smack them around. It helps when they know you close all your deals and that you do a bunch of them. But if you are just starting out I don’t recommend this approach.

Another thing I do when dealing with REO’s is I make a bunch of offers. I will tell you that right now 99% of the deals I pick up are foreclosures. You just can’t beat the discounts the banks are willing to give because there are so many foreclosures out there. Most homeowners just can’t or won’t come down like the banks.

Foreclosure is the legal procedure by which a local government takes ownership to a certain property. A popular option for home buyers is to take out a home loan and give the lender a security interest in the property that is to be bought. If, for any reason, the home buyer’s mortgage payments are not made in time, then from the security interest that was given to the lender, the home can be auctioned, or foreclosed. The money from this auction will be used to compensate the investments. In the event that the foreclosure of the home is not able to recover the money that is remaining, the home buyer could have a deficiency judgment held against them.

As a matter of fact, someone who is faced with the possibility of foreclosure should acknowledge that they have too much debt. There are many reasons for someone losing control over their financial stability, be it an outcome of personal relationships, a consequence of bad money management or some other major event which shook up one’s financial plans. Overspending is a common reason for many people suddenly finding themselves in financial trouble. No matter what the reason for not being able to pay off the outstanding amount, once foreclosure is around the corner, it would be necessary to make some major decisions. Even though sometimes foreclosure might sound like a quick solution to the big problem of excess debt, both foreclosure and deficiency judgment can cast a very negative light on any later attempts at applying for credit.

As overwhelming a process as foreclosure is, with some planning and luck it can be steered clear of. There are a few options that you can look into before foreclosure becomes unavoidable. It is first necessary to understand the seriousness of your financial instability. Is this a short term financial setback? Or are these mortgage payments something you would not be able to handle at all? If you are facing a temporary financial problem, then it is possible to ward of the foreclosure till you are in control of your finances again. Once these questions have been honestly answered, you can explore the practical options that you have before deciding if foreclosure is inevitable.

What Are Your Options? For someone who is facing financial problem, perhaps the basic instinct is to turn to a trusted loved one for some assistance. Talking to a close relative or friend and explaining your problem to them might solve your problem. If it is possible to borrow some money in order to ward of the foreclosure of your home then you can come up with a realistic timeline for paying back their money. Be honest about your situation and about how long it would take to pay them back. They need to be sure that they are making the right decision by helping you.

It might comes as quite a surprise to many that lenders will be willing to listen to why you are not able to make your contracted mortgage payments. The fact is that lenders make their money from your principle and interest payments. The foreclosure of your home is not something they would want either! Before you contact your lender and explain your problem to them, be sure you have charted out an alternative plan which is both truthful and realistic.

You need to communicate to your lender about how long it is going to take you to get back on your feet. You can either ask for your payments to be suspended for some time, while you tidy up your finances. Another alternative is to make reduced payments for a few months till you are able to make your original payments again.

No matter what the alternative, it is essential that both parties clearly understand and agree to the new terms. Be sure that there is a written agreement and all the correspondence pertaining to this new agreement should be kept. Refinancing your existing loan might be another alternative. By researching about how you can refinance your debt at a lower interest rate, you might be able to work out your financial problems. It is a good idea to employ the help of a mortgage broker who can seek out a better interest rate for you.

Another option to avoid foreclosure is to sell the house. Contacting a competent realtor would be the first step in putting your house on the market as soon as possible with a realistic price. In the event that you need the house to be sold immediately, it might be necessary to drop the price of the house to attract more buyers. Be sure that you check any complaints against the potential buyer of your house.

There’s no doubt about it, we have all noticed it on a variety of products; crackers, sodas, chips cookies, candy the sentence; “new look same great taste.” These days you could apply a similar label to Trend Homes, one of Arizona’s leading home builders; “new company, new owners same great homes!” With Trend Homes recently being purchased by the private equity firm Najafi Cos, Trend Homes is on a mission to show that it is a fresh company without any of the old issues.

In the early months of 2008, Trend Homes after experiencing many of the same problems most Arizona home builders were experiencing was on the very edge of being forced to close their doorspermanently. The problems that presented themselves were not due to Trend Homes building an lesser product, in fact, quite the very opposite; Trend Homes was recently ranked Highest in Quality by Phoenix, Arizona Home Builders. The problem was simply that people were not buying houses in Arizona.

Now owned by the private equity firm Najafi Cos, Trend Homes has amplified its attractiveness beyond building beautiful homes across the Phoenix Valley and now offers programs other Arizona Home Builders can not, including Pre-Approved Bank Short Sales; Trend has partnered up with banks to Pre-approve short sales. With this pre-approval, Arizona home buyers can now avoid the lengthy waiting process of getting approval.

Alongside the many incentives and programs Trend Homes now offers homebuyers, Trend Homes, now under the ownership umbrella of Najafi Cos offers some of the most competitive interest rates available today. In addition, Arizona home buyers will now save up to 40 percent on new homes by taking advantage of the Pre-Approved Short Sale.

When the equity firm Najafi Cos purchased the two sister companies Trend Homes and Classic Communities in Jan. 2008, they also purchased the debt of the two companies. This provided the Arizona home builder a fresh start! Plus, with the new start that Trend had been afforded, Trend is able to offer savings, incentives and down payment opportunities which allow Arizona home buyers the opportunity for a start fresh also.

Along with the many changes that have occurred at Trend Homes and Classic Communities since January of 2008 when they were purchased by Najafi Cos, you’ll find the introduction of the Paint for Your Down program which allows Arizona home buyers to lower their down payment in exchange for spending some time with a paint roller painting their new Arizona home. This type of program is a first of its kind for Arizona home builders.

There are specific things that Arizona home buyers expect from Trend Homes. And as a leader among Arizona’s home builders, Trend Homes considers these expectations to be very serious. Even with the changing of ownership, (Najafi Cos bought Trend Homes in Jan. 2008) residents of Arizona can and should still expect the same things as they always have from Trend Homes. They can still count on; beautiful homes, made with quality products by skilled craftsmen. As a leader among Arizona home builders, Trend is committed to YOUR satisfaction.

Now owned by the private equity firm Najafi Cos, Trend Homes has been afforded the credit which permits the company to have a fresh start which is not only beneficial for Trend, but also is beneficial for Arizona home buyers as Trend Homes is able to offer things that other Arizona home builders can not such as Pre-Approved Bank Short sales and very competitive prices on foreclosed homes in Arizona.