December 21, 2011 I sat in the kitchen at this house and signed the listing with the seller. This was going to be shortsale listing and we expected a few bumps. I prepared the seller for a 6-8 months process. The seller had a Bank of America loan and we all knew this bank was as slow as a snail in processing shortsale offers. We received our first offer but of course it was rejected by the bank. Now a 2nd offer comes in CASH no broker fee and no closing cost. I figured we would have an answer pretty quick and prepped the seller for a move.
Tick toc, Tick toc, Tick toc, Tick toc fast forward a YEAR. I move companies twice, I have a baby who is now a toddler. We finally get full approvalto close and now the buyers needs time to process his loan. We asked for one more extension and finally closed. It still amazes me this sale finally made it to the closing table.
2/21/14 It CLOSED !
I know there is not much details in the story but there is not much to say except we updated loan docs, financials, appraisals time and time again. Im grateful I had a seller who did not give up and a buyer who was willing to wait. LESSON LEARNED never give up, and keep all parties informed!
If your a seller looking at a potential shortsale dont give up hope. Until the home is “taken” from you there is always hope to get it closed. 60-70% of what I do are shortsale listings. I have learned there is nothing 100% from the contract to the bank to the buyer. This is an ever changing process and all you can do it ride the coaster and take deep breaths !
I have to share with you all this wonderful story.
I was contacted in April by friend of my daughters who wanted to look at moving back to the beach to be close to family. They recently had a baby and being close to her mom would have been such a help.
I did a buyer consultation with her and her mom who was helping them buy a home. We had a home targeted for them just 2 doors down from her family. My buyer thought this was the PERFECT home and she was set on getting it. We called the listing agent and wouldn’t you know it , there was an offer on the house. My client was devastated. This was the dream home she had hoped for. We calmed her down and said ” lets just see what else there is”. After a few more internet searched we had a list of some wonderful options. A day in the car hoping in and out of homes we walked in to this charming brick ranch and that was it. She was in LOVE again ! This home was a renovated home with hardwood floors and a wonderful updated kitchen. My client was in love with the new cabinets, granite countertops , tiled glass back splash and new appliances. We just knew this was the right one. The home was locate only 3 miles from mom as well.
We wrote the offer and it was accepted. The sales price was a bit higher then what they wanted but was still with in budget. Next was loan process and home inspections. This is where is gets interesting. Since my client owns a business there was a TON of details research to have to do. The list of documents are UNREAL when proving income and asset now. As the loan process was moving along the home inspections came up with very little to fix. We were well on our way and my client was very happy.
First road block ! Time for the appraisal. Our offer price was 199k and the appraisal came in at 183k. We had to ask for a price reduction on the offer and to my surprise the accepted it !
Second Road block ! When it came to verification of loan docs this was a business that required certain docs that had to be refiled and a new tax transcript. We just knew the seller would release us from the offer but to our surprise they said they would wait.
Third Road block ! The IRS request was taking so much longer then expected we were now 30 days past closing and again to our surprise the seller did not kick us to the curb
Fourth road block ! We needed a 2nd appraisal because this was a renovated home and flip. Again we just knew we would loose this house.
After all this and about 45 days past the original close date WE FINALLY got the clear to close.
1. Laural Green Condo under 90k
2. Old Colony Brick single family home Shortsale Price dropping ASAP
3. Decatur Duplex in Portsmouth 70k
4.Conway Single family in Virginia Beach Shortsale approved 140′s
Let our team help you buy one of these GREAT homes today. Nowt what your looking for Log on to our site http://www.BuyHamptonRoadsHomes.com and create a search !
I really don’t even understand the term so I googled the diction term. HUMMM so how in the heck does this apply to the spending and what in the world does it mean for our area and market ?
1. Secretary of the Navy released a memo detailing immediate cuts, including a directive to “announce intent to cancel” all Blue Angels shows scheduled for April. So I guess no Airshows this year !
2. Across the fleet, thousands of sailors are unsure of when or even if they will deploy in the coming months. Great for families who don’t want to be apart but what are we going to do with all the people standing around ?
3. We could lose more than 12,000 jobs this year if sequestration is not halted, Old Dominion University economic researchers said. HOLY cow that is going to kill our regions economy !source
3.Economists said, It will cost the region more than $2 billion in spending. Nearly $1.9 billion of that is defense-related, the Economic Forecasting Project said.Source Read here about the impact on Hampton Roads
If you find your self in a position that your gong to loose your home PLEASE do not wait till its to late. Lets not have a destroyed credit report or a foreclosure. I can help with a shortsale. Many banks are open to this more and more over taking the home. Lets talk !
1. The act of sequestering; segregation.
a. Seizure of property.
b. A writ authorizing seizure of property.
3. Chemistry The inhibition or prevention of normal ion behavior by combination with added materials, especially the prevention of metallic ion precipitation from solution by formation of a coordination compound with a phosphate.
* The number of residential homes listed for sale in the region has dropped 15.78% when compared to August 2011.
For the last 18 months this inventory has been shrinking. This is EXCELLENT NEWS and points to a stable market !
*The absorption rate (the average number of listings that have sold in the last 12 months) is currently 1599.92
*The region’s months’ supply of inventory is currently down to 7.04 months. A balanced market is said to be about 6 months supply
*Residential pending sales increased 23.28% in August 2012, when compared to August last year.
*Residential pending sales increased 23.28% in August 2012, when compared to August last year an increased 16.74%.
*The distressed homes market persists in showing signs of improvement based on August 2012
stats. Distressed homes, those that are bank-owned or short sales, accounted for 24.74% of all
residential active listings. Though this number is up slightly from last month, the overall number is down
by 1.27% since the beginning of the year. Distressed homes continue to account for less of the total
residential settled sales, measuring in at only 24.4% for August. This marks the 10th consecutive month
distressed homes have declined as a percentage of the residential settled sales.
Norfolk Va has a reason to celebrate. The Norfolk light rail is celebrating 1 year anniversary and a big success ?
I love being able to relax when going to downtown Norfolk. Its a lot better then driving and dealing with gas, traffic and parking.
Here is a blog about the Norfolk light rail wrote sometime ago. I LOVE THE NORFOLK LIGHT RAIL
Hampton Roads Transit figures shows the Newtown Road station is the busiest, accounting for 22% of daily ridership, followed by MacArthur Square’s stop with 16%. The least busy stops are York and Ingleside, according to the statistics.
Many of my clients are emailing me about this new law efective January 2013. Do you currently own a home and could possibly sell that home after 2013 ? There could be some new taxes that effect you. Its best to plan and be prepared for this. I would suggest you talk to a tax planner and financial advisor on how to handle this if you do plan to sell. NAR ( National Association of Realtors) has a great booklet that could answer some of the questions you have . Find the PDF booklet here
Beginning January 1, 2013, a new 3.8 percent tax on some investment income
will take eﬀ ect. Since this new tax will aﬀ ect some real estate transactions, it is
important for REALTORS® to clearly understand the tax and how it could impact
your clients. It’s a complicated tax, so you won’t be able to predict how it will
aﬀect every buyer or seller.
Another way of thinking about these new taxes is to think of the 3.8% tax as being imposed on a portion
of the money that you make on your money — your capital (sometimes referred to as “unearned income”).
h e 0.9% tax is imposed on a portion of the money you make on your labor — your salary, wages,
commission and similar income related to earning a livelihood.
Recently I have been getting emails from my clients asking what is going on with the “TAX” on home sales. I was extreamly concerend about it and at first just as worried as the rest. After I took some time to find the facts I do feel a little better. I still think it opens the door to people to grab more “cookies” from the cookie ja. For now I think the average homeowner here in hampton roads could be spared a massive tax. Here are the questions that will be answered at Realtor.com
Q-1: Is there a 3.8% real estate “sales tax” or a transfer tax created in health care bill?
Q-2: So who will be subject to the new tax? When is it effective?
Q-3: Who is a “High Income” Taxpayer?
Q-4: Are the $200,000 and $250,000 thresholds indexed for inflation?
Q-5: What is “unearned” net investment income?
Q-6: So the new tax will apply to rents from investment properties that I own?
Q-7: Does the tax apply to the yearly appreciation of an asset?
Q-8: How is the new 3.8% Medicare tax calculated?
Q-9: Give me an example.
Q-10: Will the $250,000/$500,000 exclusion on the sale of a principal residence continue to apply?
Q-11: Will the 3.8% tax apply to any part of the gain on the sale of a principal residence?
Q-12: Is rent from a vacation home subject to the 3.8% tax? And what about the gain on sale of a vacation or rental property?
Q-13: My rental property generates a net loss each year. How will those losses be factored into the new tax? And what if I have net capital losses when I sell?
Q-14: I earn all of my income from real estate investments that I own and operate myself. Will my rents and gains be subject to the new tax?
Q-15: Will “High Income Filers” lose any portion of the Mortgage Interest Deduction?
Q-16: Why is this new tax called a “Medicare tax?”
Q-17: How will this new tax affect marginal (the highest) tax rates when it is combined with existing law and with the possible expiration of the Bush tax cuts enacted in 2001?