Wells Fargo, formerly Wachovia, has approved a Magnolia Bay townhome in Sandestin Florida as a short sale. The unusual part of this short sale was that the senior mortgage holder, Bank of America, was not "short".
What does this mean? The sales price of the property was more than enough to pay the balance on the Bank of America mortgage. That is an unusual situation in Sandestin Florida and vicinity. Most short sales in the market area are "upside down" on both mortgages. Usually, the senior lien holder will pay a paltry sum to the junior lien holder to "entice" them to release their lien and allow the sale. In this case, Wells Fargo was satisfied with about one-third of its balance, and approved the short sale.
Hint: If you are negotiating with a junior lien, consider offering a cash contribution. They may then approve your short sale as "settled". It will be reflected on your credit report, but you will be done with them. As always, consult an attorney and an experienced Sandestin short sale agent.
It's Wendy! Wendy Rulnick, Broker, Rulnick Realty, Inc. Call toll-free 1-877-ITS-WNDY (1-877-487-9639) or local 850-650-7883 ext 204 Email Wendy: itswendy@rulnickrealty.com Sandestin Short Sales & Pre Foreclosure Help. Read Wendy's Destin Real Estate Blog Wendy is a short sale and pre-foreclosure specialist and has been featured in "Kiplinger Personal Finance Magazine" and "Florida Realtor Magazine". Call Wendy Rulnick, Broker/Owner,to list and sell your home or condo on the Emerald Coast of Florida in Walton, Okaloosa and Santa Rosa County- Destin, Santa Rosa Beach, Fort Walton Beach, Niceville, Bluewater Bay, Navarre, Seagrove Beach, Watercolor, Sandestin, Seaside, Crestview, Rosemary Beach, Mary Esther, Shalimar, Eglin AFB, Hurlburt Field.
Congrats and great job Wendy. Have a great week. Looks like its off to one already.
Lisa
"Hint: If you are negotiating with a junior lien, consider offering a cash contribution. They may then approve your short sale as "settled". It will be reflected on your credit report, but you will be done with them."
"Settled" and salvaged dignity is the point of a short sale. I'd hate to have this discourage seller with out the means to add a "cash contribution."
Well done!
Bill
Great points. Novice short sale negotiators may not realize that some of the liens will be paid and full and others may be short.
Congrats Wendy, another successful short sale. You're the best!
Lisa - It does brighten the week - thank you.
Bill - Salvaged dignity is huge.
Melissa - It is so rare in my area :)
Gabe - Thank you!
An interesting turn of events...a bright spot in a short sale! Congrats Wendy!