Valuable information from today’s training

Appraisal issues

 

·         Coming in low in all price ranges               

·         Too long to complete

·         Appraisers and lenders can’t communicate which is causing delays in settlement dates

·         Appraisers are coming from outside market areas – in some case close to 100 miles away

·         Maintenance issues are listed as safety issues – in one instance a carpet stain was listed as a potential mold hazard

·         Low appraisals on FHA loans are not being submitted to HUD

·         Why are FHA appraisals good for 6 months when appraisers and lenders are only going back 90 days?

 

Short sale issues today

·          Banks are inundated with too many cases and not enough “trained” staff to handle processing

·         Short sales are taking longer to complete

·         Some banks are asking defaulting borrowers to repay a portion of their loans through signature loans – no interest – 5 to 8 year terms

·         Some banks are countering ratified contracts with higher prices

·         Be sure to not have home warranties or seller paid termite inspections as these are getting “kicked” out at the last minute

·         Cases are being closed with no notice given to parties for “technical” issues of missing suffixes after a long period of negotiations

·         Still no standard procedure in place to streamline the process – even within same bank

·         Be sure to check listing agent’s success with getting short sales approved

 

 

Motivate sellers and build your inventory

·         Lack of supply today is an opportunity for sellers today

·         Increased demand

·         Multiple contracts in all price points below $400,000 and above $1,000,000 in certain locations

·         $8,000 tax credit for first time buyers is only in place through the end of November 2009

·         Will HVCC continue to erode home equity – $1.7 Trillion already lost since its implementation

·         Rates are great today but where will they be next year

·         Will short sales turn into foreclosures and reduce prices further?

Now, go sell something!

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