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If you're planning on buying an apartment, there are a few steps that you absolutely have to take to make sure that you're fully prepared. Learn about apartment preparation for buyers with help from an experienced real estate agent in this free video clip.
Certain real estate expenses are tax deductible, and it's important to not forget them come tax season. Learn about real estate agent expenses that are tax deductible with help from a real estate broker in this free video clip.
Real estate agents tend to dress is a very specific and very professional manner. Learn how to dress like a real estate agent with help from a real estate professional in this free video clip.
When you are unable to make your mortgage payments, the bank may agree to a short sale, which is a sale of your home that doesn't cover the outstanding balance on your mortgage. After a short sale, the bank typically issues an Internal Revenue Service Form 1099-C to the debtor for tax purposes. However, banks won't issue this form if the debtor filed for bankruptcy protection before the short sale.
A short sale is a real estate transaction where a lender accepts a lower amount than what a homeowner owes on his mortgage. Lenders approve short sales only under certain circumstances. The homeowner must owe more on the mortgage than what the property is worth. Also, the homeowner must prove that an unforeseen circumstance or hardship has made it difficult to pay the mortgage. In most cases, marital problems illustrate a hardship and can be explained in a letter to the lender.
In a deflated housing bubble, prospective home buyers may be attracted to a property listed as a "short sale," a process in which the bank agrees to accept less than the full mortgaged amount. Short sales are notorious for being time-consuming and complicated, partially because the bank can hold out for an offer as long as it likes. Buying a short sale takes patience and good negotiation skills, which may include meeting or exceeding the bank's approved list price.
The number of people with mortgages who sold their homes through short-sale proceedings increased after the housing bubble burst in 2008. An increasing number of large national lenders have streamlined their foreclosure and short-sale procedures to accommodate the fallout of the sub-prime lending market. Typically, lenders award contracts to prospective homebuyers who offer the best sales contracts. Usually, in the real estate market, a buyer who bids the best offer is the one who offers the most amount of money.
Short sales accounted for 12 percent of home sales in a August 2011 RealtyTrac survey, according to an August 2011 article in USA Today. Negotiating a short sale is a long and difficult process, which can become trickier if you have liens against the title to your home. The government can help expedite your short sale process and you can contract out negotiations to a more experienced mediator.
The beach is great but so is the bonus of a roof deck at your beach house. Add a private or party space with clever roof designs that take advantage of the features and minimize any drawbacks. Remember that wind and ocean spray take their toll on outdoor furnishings and canvas shields -- consider portable umbrellas rather than permanent awnings to provide inexpensive and movable shade.
Its always a good idea to check up on the history of a real estate agent before getting into business with one. Check the history of an Oregon real estate agent with help from a real estate personality and broker in this free video clip.
Anytime you're unable to make your current mortgage payments, you'll suffer a credit-related consequence. For many who find themselves in this predicament, two options arise: short sale or foreclosure. While neither of these are good options if you can pay your mortgage, if you simply can no longer make the necessary payments, one choice proves a better credit decision than the other.
When looking for your next home, you have many details to consider: Location, number of bedrooms and square footage are all important factors. If one of the places you look at has a carport rather than an enclosed garage, be aware that carports come with several disadvantages.
A real estate agent can reduce the time it takes to find a tenant for your property and help you negotiate a higher monthly rental fee. Before you hire an agent, the agent must provide several disclosures on your agreement. The agent must disclose the agent-client relationship, his responsibilities as a real estate agent and his total commissions.
Selling your condominium requires a few different things you may not have thought of. Sell your condominium with help from a real estate personality in this free video clip.
Promoting yourself as a real estate agent is something you can do in a practically unlimited amount of ways. Promote yourself as a real estate agent with help from a real estate personality in this free video clip.
Short sales try the patience of buyers and sellers alike. Although short sales require lender approval, the lender rarely gives it until a significant amount of time has passed -- weeks, if not months. In the meantime, the buyer or seller may have second thoughts about proceeding with the sale. The buyer has a relatively easy time backing out, as sales contracts generally offer a number of opportunities to do so. The seller, on the other hand, is usually protected only by the contingency that states the sale can't proceed without lender approval. The seller can face serious consequences for…
Though it is easy to become an owner of a timeshare, it is often quite difficult to get rid of one. Because you normally are under a legal contract to pay fees and other maintenance costs, you cannot simply terminate a timeshare contract. Unless you are able to cancel your contract, you can expect to lose money disposing of your unwanted timeshare.
If you are unable to make payments on your mortgage, your lender may agree to accept less than the total amount owing on your property. You must find a buyer willing to purchase the property and then work with your lender to secure its approval to sell the property. A short sale of a rental property triggers potential tax consequences.
If you have satisfied a lender’s underwriting requirements, you should receive a loan commitment letter. You may use a loan commitment letter from a licensed mortgage lender to validate your ability to buy a home. You can apply for a home loan from various banks, mortgage companies and credit unions, and loan approval guidelines and terms may vary among these mortgage lenders.
Escrow companies, which are neutral parties in sales transactions, hold funds from both the seller and buyer until it is ensured that both parties have met the terms of the sales contract. Escrow companies charge fees based on various factors, including the amount of the real property sales price. The escrow company also collects funds required to pay real estate taxes, homeowners' insurance premiums and mortgage interest based on the day of the real property closing. Escrow companies occasionally waive the additional fees for clients, particularly those purchasing real estate at a significant sales price.
Short sales became a popular means of resolving mortgage delinquency on underwater loans after the housing crisis began in 2007. Short sales involve selling a home for less than the balance owed. Lenders prohibit collusion, the secret cooperation between parties to a transaction in order to commit fraud, between parties to a short sale. Collusion gives lenders an unfair disadvantage as participants profit from the distress sale. A trust purchasing a beneficiary's short sale home may be considered collusion.
A short sale refers to an arrangement by which a mortgage lender allows a homeowner in financial distress to sell the property for less than the amount he still owes on the mortgage. After a short sale, the homeowner usually can't rent the property back from the buyer because of the lender's restrictions.
You can often buy a short sale property at a price lower than the prevailing market price, but the purchase process carries some challenges. In a short sale, the distressed seller negotiates with the mortgage lender and gains the lender's permission to sell the property for less than the seller owes on his mortgage. Even if the lender has approved the seller's application for a short sale, the lender retains the right to approve or reject purchase offers on the property.
Buying a condo with a friend is sometimes a wise decision. It allows buddies to share more space and amenities than an apartment may provide and is usually less expensive than buying a house or condo alone. However, there is more to think about than the cost savings. Sharing a property and mortgage with a friend requires a written legal agreement to prevent any misunderstandings.
Foreclosure is a mortgage lender's contractual right to take a borrower's property if the borrower does not repay the mortgage loan. Foreclosure is a contract right governed by state law. A short sale, like foreclosure, is also a matter of contract. This means that a mortgage lender can agree to a short sale at any time before the foreclosure sale actually occurs.
If you find yourself in a situation in which you are unable to pay your monthly mortgage payments, you may be faced with the possibility of your lender initiating foreclosure proceedings against you to take back the property. A foreclosure can seriously hurt your credit rating. While filing bankruptcy is an option, both a short sale and a deed in lieu of foreclosure may be options worth considering first. While both these options will also have a negative impact on your credit rating, the impact will be less than a foreclosure.
A short sale of real estate refers to the sale of a property for a sum less than that for which it was acquired. For example, if a rental property was purchased for a price of $300,000, but subsequently sold for $200,000, then that would constitute a short sale. Legal and tax treatment of short sales hinges on a variety of factors.
A homeowner may file for bankruptcy to save his home from foreclosure and negate the need for a short sale. Depending on the circumstances, he may be able to work out his financial situation in a Chapter 13 bankruptcy, and keep his home. If he is not able to save the home, he may be able to do a short sale, depending on the type of bankruptcy and whether or not the mortgage was reaffirmed.
Homeowners whose home value has fallen below the amount owing on their mortgage have options short of bankruptcy to avoid foreclosure when they can no longer afford the mortgage. One is to sell the house for less than the mortgage balance, which is called a short sale, and another is to give the property back to the lender. The latter option is called a deed in lieu of foreclosure.
The housing crisis and recession that began in 2007 have popularized the terms deed-in-lieu of foreclosure and short sale. Foreclosure prevention efforts and short sale numbers continue to rise in 2011 as a result of economic conditions, according to the National Association of Realtors. Both the short sale and deed-in-lieu are alternatives to foreclosure that carry credit consequences.
A short sale occurs when the lender on a mortgage loan agrees to accept less than the amount owed on the loan. This often occurs when the value of the home is less than the balance due on the mortgage. Lenders report a short sale to the credit bureaus and this information may negatively impact your credit.
Short sale payoffs have increased in popularity since the recession and housing crisis began in 2007. The sales transactions in which proceeds fall short of the amount owed on the mortgage, were on the rise as of 2011, according to the National Association of Realtors. Usually the result of housing slumps, short sales proliferate when reduced home values meet financial hardship. Borrowers who choose to short sell may owe some the difference under certain circumstances.
Real estate agents don't charge a straight fee, so if you want to know how much an agent will earn on a sale you will need to do some calculating. According to Lee Dworshak, a real estate agent with Keller Williams LA Harbor Realty in Rancho Palos Verdes, California, real estate agents work on commission only, and do not receive any payment until the sale is completed. To calculate the amount that a real estate agent makes on a sale, you will need to know the agent's commission rate and the selling price for the property.
As long as your house is titled in your name, you can be held liable for homeowners association dues, as well as damages if someone harms themselves on your property. A short sale takes you off your house's title. The dangers associated with short selling your property after filing bankruptcy vary based on where you are in your case and whether you reaffirmed your mortgage.
When comparing the pros and cons of selling your condominium instead of renting it out, factors to consider include your motivation, financial portfolio and the property’s current use. If the property is already a rental, you have different factors to consider than if it is your primary residence. Even if the condominium is presently your primary residence, renting it in the future might redefine the property in the eyes of the Internal Revenue Service.
All real estate commissions are negotiable. The advantages in negotiating a reduced commission when selling a home or condominium include cash savings, but the reduction in fees may make your condo offering less attractive to real estate agents with qualified buyers looking for a full-commission sale. Although state laws forbid setting predetermined fees, typical commissions average 6 percent, with the fees divided evenly between the brokerages representing both the buyer and seller.
When purchasing a short-sale property, the transaction is similar to other real estate purchases, yet the initial offer process tends to take longer. This is because lien holders on the property must agree to the offer, along with the property owner. Real estate transactions in general can vary, as real estate laws and practices vary by state. In some states, attorneys regularly participate in real estate transactions.
In a short sale, the property owner sells the real estate for less than the amount needed to pay off all the debts against the property. Short sales typically occur when property values drop and the property owner becomes upside down in the mortgage, meaning he owes more than what the property is currently worth. At the conclusion of a successful short sale, the property’s creditors agree to release existing property liens and accept the buyer’s offer.
When you realize that you cannot afford your home, its time to start doing damage control to preserve your credit rating, but there is little you can do to keep a high rating. Choosing between a short sale and deed in lieu of foreclosure is like picking your poison. Even though a short sale might be a little less damaging than adeed in lieu of foreclosure, both can turn you into a subprime borrower.
If you own a rental and use a real estate agent to manage the property, it typically costs you a commission based upon a percentage amount of the rent. Normally, this applies only to the months when the property has a renter, not when it is vacant and the agent is looking for a tenant. In some areas of the country, it is customary to charge the tenant for finding a rental, instead of the property owner. The typical commission amount is a negotiable percentage, which might be 3 to 15 percent, or some other amount.
A residential sales contract is an offer to purchase residential property. The buyer completes the contract and submits the offer to the seller. In a short sale, the current property owner is the seller. Yet, because the seller is selling short, meaning accepting less for the property than what the seller owes, the final approval comes from the lienholders. Completing a residential sales contract for a short sale is typically the same as completing a contract for a non-short sale. If the seller accepts the offer, the offer then goes to the property’s lienholders, who accept, reject or counter the…
It often comes as a surprise to homeowners that foreclosure can result in tax liability. Foreclosure is the process whereby a lender takes possession of your house to satisfy a delinquent debt. Tax liability can also result from the short sale of your home. A short sale results when your mortgage lender allows you to sell your home for less than the current balance of your mortgage.
For several years, loan modifications were the workout of choice for delinquent Freddie Mac borrowers. As of 2011, the combination of decreased property values and tough economic conditions caused short sale numbers to rise, according to the National Association of Realtors. Short sales help keep bank-owned real estate inventory down and preserve neighborhoods. Lenders must follow specific guidelines to obtain short sale approval for a Freddie Mac mortgage.
While a licensed real estate agent can form a real estate company, her new company will need a broker if she isn’t one herself. Each state has its own real estate department, which licenses and regulates its real estate industry. The actual process of creating a real estate company varies by state. To determine the rules, regulations and process for establishing a real estate company in your state, contact your real estate department.
Drastic forms of debt relief -- particularly bankruptcy -- often present hard questions for debtors. Often, debtors worry about what they must give up in return for debt relief. The answer depends on the type of bankruptcy you file. If you file under Chapter 7, your assets are subject to sale and liquidation. In general, your timeshare is at risk during bankruptcy, although the answer depends on your specific circumstances.
Starting a career in real estate is a relatively short process and offers a great opportunity for advancement. People thriving in this field are very hard working and know how to deal with the public. Agents help regular people buy and sell houses and only receive payment upon the closing of these deals. Average agents make about $54,000 yearly as of 2008, depending of course on the area and market.
If you paid interest on a mortgage for your main home or a second home during the year, you probably are eligible for a tax deduction when you file. Taking the mortgage interest deduction helps you reduce your taxable income by the amount of interest you paid on your mortgage during the year. If you have two homes, this deduction can be significant in reducing your tax burden.
When you fall behind on your mortgage payments, your mortgage lender will typically contact you in an effort to resolve your delinquency. If you do not work with your lender to bring your account current, the mortgage lender may opt to foreclose on your home. In a foreclosure, the lender takes possession of your home and typically sells it through a realtor or at a public auction. In some cases, you may be able to regain possession of the home even after the lender sells it.
Before you can close on the sale of your home, you must ensure that all funds and required documents are in order. An escrow officer can help you with the preliminary escrow closing requirements. During this preliminary phase, the escrow officer orders a title search, receives the appraisal and other reports for the buyer and seller's acceptance, and handles the buyer and seller's approved escrow instructions. Once the escrow officer has received the documents and funds, she can disburse the funds to the seller and deliver the documents for the actual closing.
The ability to buy a second home is usually a privilege available to homeowners with sufficient income and impeccable credit. Even if you do qualify, it is wise to first explore the advantages and disadvantages before taking on more property. Also, take a moment to figure out exactly why you’re thinking about buying a second home -- whether it's for an investment or for your own personal needs.
