You Have Options

The first and probably best way to avoid foreclosure is to do a short sale. This is a process where we list the property at the current market value. It does not matter at this point how much is owed on the home, the lender requires that we show them that the house is not worth that much anymore. A short sale requires a bit of paperwork to be filled out and returned to the lender. I can give you a packet to preview if you contact me here. We list the house and market it to potential buyers. Once the property is under contract with the buyer we then proceed to get the mortgage company’s approval to take less than they are owed on the property.

Other Factors

Lenders do have the right to approve or disapprove a short sale. They are now beginning to understand that short sales need to be approved or the properties will just revert to the bank through foreclosure.  They do also have the right to persue a deficiency judgement for the balance that was not paid on the mortgage. This is not often done but can happen. If it does, then the next path of action might be to file for bankruptcy protection. Really though, think about it–if home owners had the money to pay the dificiency, they would not be in trouble in the first place.

Stop the Foreclosure!

Many people are now beginning to understand that if you miss a mortgage payment, the bank does not come to your house to make you move right away. I do think that some people actually worry about this. Most banks do not even begin the foreclosure filing process until you have missed at least three payments or so. They will try to phone you and send letters asking if they can assist you. They will offer loan modifications that rarely end up with the terms that are first offered. Then eventually they will file the foreclosure with the El Paso County Trustee and send you what is called the Notification of Election and Demand. This is a legally recorded document that says essentially that the bank is gearing up to take the property back unless you pay the mortgage and bring it current. Again, if you could do this you would not have gotten to this point. Doing a short sale will halt the sale of the property by the County Public Trustee for an extended time period.  It does buy yousome very valuable time. How much time will depend on the lender who holds your loan and if you have a contract to sell the property or not.

Immediate Relief

We do have several buyers with cash who are waiting to buy your short sale. This might mean that you never have to hassle with showings and staging and you may not even need to have a real estate sign in your yard. I have lots of clients who have had success with this method and enjoy the quiet way that the sale actually takes place. No need for anyone to know your business!  Our specially trained short sale team is available to answer all of your questions in a dignified and discrete way.

If you are in trouble and need help, please contact us now! Don’t wait until it is too late. Getting in touch now will at least help put your mind at ease. We can tell you what to expect at every step. Financial stress is a killer and our job is to at least take care of your mortgage stress. Fill out the form below and we will be in touch or you can call us at 719-264-7777.

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Possibly. Keep in mind though that this process is dependent on may variables determined by your mortgage lender. First of all, visit your lenders web site to see if they offer loan modifications. They will list the steps required to modify the loan. The problem sometimes occurs when the lender tells the homeowner that it will be no problem to lower the monthly payment and then at the end of the process, the promises made by the lender in earlier conversations are not kept.

Each modification program has different rules but generally the homeowner must be currently living in the home and not using it as an investment property. Next the homeowners must be able to show that their income has decreased and there is a hardship in paying the current payment.  Once all of the criteria have been met and the correct documentation has been submitted to the lender, the lender may or may not modify the loan.

I do not recommend employing the services of a so called “Loan Modification Prifessional” that will do the paperwork for a fee. If you simply must enlist the help of a service, please do so ONLY if you can pay upon the successful completion of the loan mod. Many companies charge borrowers upfront for the loan mod and then are unable to deliver. Think about it, if you really had three or four thousand dollars laying around would you need to modify your loan in the first place? Don’t do it.

Statistics show that a huge percentage of the loans that actually do end up getting modified end up in foreclosure anyway. Most times, if you are having trouble paying the monthly payment, a savings of a few hundred dollars per month is not going to make any difference.

Short Sales

Short sales make the most sense to me for those having trouble paying their monthly payments. The process can definitely be successful when done correctly.  When you do a short sale, the lender agrees to take less for the house than you currently owe on it.  Again there are strict criteria on who can qualify to sell their home short and who cannot. Those who cannot would be those with obvious equity and no hardship. Those who can will meet the criteria listed below.

• you have a hardship, such as a job loss, divorce or medical emergency
• you owe more than your house is worth
• you’re unable to afford your current monthly mortgage payment
• you’re unable to modify your current home loan

Step one is to call us at 719-264-7777 and make an appointment to go over your current situation. Step two is to determine the true value of the property and list it for sale in the MLS. Beware of the scammers will instantly buy your home for cash or at least claim to do that.  Banks are getting wise to these scams. The buyer makes an offer to purchase your home for a super low amount. They then turn around the same or next day and try to resell the property to a new buyer. In essence this steals equity from the lender and can be considered fraud. Buyers who intend to resell the property must disclose their intention as part of the sale so the lender is made aware of this condition. Most lenders do not look favorably on this practice.

 Colorado State laws are also very strict about waiting periods before an investor can transfer the title to a home purchased in a short sale. These shady dealings are exactly why you should never trust the sale of your home to some company who clains to just want to help people.  Many of these companies advertise on craigslist.com or use hand made signs on street corners. I have a 21 year real estate career in Colorado Springs and real estate license that I do not want to lose. All of my dealings are done in a professional manner. I just can’t risk it for some flaky investor doing things the wrong way!

Short sales are not for the faint of heart. The process can be tedious. Lots of paperwork has to be filled out, signed and sometimes signed again. Homeowners simply can’t do it themselves. The real estate closing fees and commissions are figured in the final payoff to the bank. Most sales do not require sellers to bring any money to closing. Once again, if you had thousands of dollars laying around, would you be thinking about a short sale? Probably not.

Selling a home short will not damage your credit as much as a foreclosure. Again, you will have missed payments and that dings your credit. The real focus should be on finding a more affordable place to live so you can start fresh. I help people just like you in all stages of mortgage distress. The key is to take action immediately! Contact me now so I can advise you and you can make a plan for a better future.

What is a Deed in Lieu?

When a homeowner is facing true hardship and does not want to go through the entire official foreclosure process, an option called a “Deed in Lieu” is available in some circumstances.  This option may have a lesser impact on your future credit than a full-blown foreclosure. Depending on your situation,  this can be an option.

There are certain criteria that need to be met in order for the lender/bank to approve a Deed in Lieu. We’ve all heard stories of homeowners just mailing the keys back to the bank but I don’t recommend that procdure! Banks don’t just accept the keys and wipe the slate clean. The Deed in Lieu has to be approved by the lender in order to be complete. Mailing the keys back does nothing and who knows who gets the keys and what they do with them.

There are several criteria that might qualify a homeowner for the Deed In Lieu option.

• You are unable to afford your current mortgage
• You are unable to modify your current mortgage to an affordable payment
• You have tried unsuccessfuly to sell your property using a short sale
• You are facing foreclosure and want to minimize the impact on your credit
•  True Hardship-job loss, divorce, medical emergency

Doing a Deed in Lieu will impact your credit and will be reported to the credit bureaus. The reports will show that the loan was in the default stage and that you did the Deed in Lieu of foreclosure.  This will still stigmatize your credit report. This option should only be considered after trying to do a loan modification or a short sale with the latter being the most likely option to resolve your situation.

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FHA and VA financing are offered on this home so buyers can close with minimal or no down payment.  This home just needs a new owner to add personal touches and a bit of TLC to make it perfect. Contact me for your private showing.

Priced at $110,000 this rancher is a bargain. Just under 1100 square feet with three bedrooms and one full bath, this home needs very little to make it shine. This is a perfect opportunity for someone who just wants to do a little bit of fix-up to have a very nice home. Large deck offers mountain views. Corner lot gives a sense of privacy. This home is a very easy commute to Fort Carson.  Investors will also appreciate to potential for profit in this home. Contact me today for your private showing.

Former Model in The Boulders Broadmoor

Great floorplan in this casual living home! Main level master suite. Newly finished wood floors. All new stainless appliance package. Large open dining room plus living room. Family room offers built-ins and walk out to patio for outdoor entertaining. You’ll appreciate the fully finished basement complete with wet bar, built ins and large open room for pool table or home theater. Five bedrooms and four baths. Over 4700 square feet.

Prestigious area with an easy commute to downtown, Fort Carson or Peterson AFB. Located in Cheyenne Mountain School District 12.   For your private showing contact us now!

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This is has been updated by the bank and is now ready to move in and enjoy! All new paint and carpet in this beautiful custom home. Over 6400 square feet, 5 bedrooms and 5 baths. Top of the world views will wow you as you sit on the deck.

Main level library also has it’s own deck for taking a break during your reading. Luxurious master suite features fireplace, large bath and walk in closet.

This home is an entertainer’s dream! Very large kitchen, family rooms and main level formal spaces. Fully finished basement has room for game room, theatre and more!

Interested? Contact me for your private showing. This one is priced to sell! You won’t find a better opportunity in Colorado Springs right now!

This little cottage is just over 800 square feet and has 2 bedrooms and one bath. Large corner lot could possibly be re-zoned for commercial use.Perfect location for those wanting easy access to Old Colorado City, Manitou, hiking/biking trails and more! Walk to Starbuck’s (that alone should be enough to make you want this house).

This home is bank owned REO and needs lots of work BUT could be a great opportunity for an investor or someone who want to live there and do their own rehab.

My  idea would be a cute little shabby-chic cottage with a new kitchen and bath but keep the charm of the Victorian styling. So many options for the right person. Contact me to set up your own private showing.

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New on the market!

This Richmond Spruce model is priced to sell quickly. Perfect for an owner occupant who wants to find a deal! This home just needs a new coat of interior paint, appliance and a good cleaning and it will shine just like it did when new!

This floor plan has been very popular and for good reason. The main level features a see-through fireplace in the living room and family room. Large kitchen has dining area. Upstairs has large master suite plus two other bedrooms. Loft area looks over living room and can be used for a tv area or office/library.

Soaring Eagles subdivision is a great location for people who work at Peterson AFB, Schriever AFB or Fort Carson. This home has quick access to Powers for all commuters.

This home is a great deal! Don’t miss your chance for easy equity! Contact me today for a showing or for info on other bank owned listings in Colorado Springs!

Super Opportunity!

This Prestwick townhome will be on the market very soon. I expect the price to be somewhere between 250K and 300K. The home actually features upstairs living with a lower level space perfect for a small business. This area is very near downtown. Walk score here is high-75! Imagine being able to leave your car in the garage for long periods of time. Live and work in the same place!

Downtown Colorado Springs is a cool place to live and work! Views of the mountains are right out of the master bedroom suite. The third level features a loft perfect for a home computer area. This unit will be a great investment for the right person. Call me or contact me for more details. I don’t expect this one to last very long and of course any buyer choosing to work with me gets the first look!