Colorado Springs Real Estate Definitions : Short Sale
The Colorado Springs Real Estate Connection would like to introduce another great article from our friends at Bring the Blog. This article explains exactly what a short sale is. A “Short Sale” is when a home seller sells his home for a leser amount than what is owed on his mortgage, and the mortgage lender agrees to accept the lesser amount in lieu of a full payoff. By way of example, a Short Sale may be appropriate for a home seller whose mortgage balance is $250,000 but whose home wouldn’t sell for more than $220,000. Rather than pay the $30,000 difference to the lender at the time of sale, the seller enters into an agreement with the lender by which all sale proceeds are paid to the bank and the deficient balance is forgiven. Read Also: Why a Colorado Springs Short Sale is a Great Alternative to Foreclosure Short Sales are a preferable alternative to foreclosure but the process still harms both parties. For one, the seller is penalized with a derogatory tradeline on credit for not fulfilling a mortgage obligation. And, two, the lender is forced to take a loss on a mortgage loan. Versus an executed foreclosure, however, Short Sale damages are relatively limited on both sides. Read Also: Colorado Springs Foreclosure and Short Sale Information For this reason, Short Sales are sometimes considered “the economical alternative” to default. The process of getting a Short Sale approved varies from lender-to-lender and can be time-intensive. Home sellers should not go at it alone — speaking with a real estate agent about the proper protocol is usually the best place to start. And sellers should be aware of how a Short Sale on their credit can impact future borrowing. Current Fannie Mae guidelines prevent short-selling homeowners from obtaining new mortgage financing for a period of 2 years. For more information on buying a Colorado Springs short sale, or if you are facing foreclosure and want to know if you qualify for a short sale, please contact the Wagner iTeam: 719.434.7525 We are Certified Distressed Property Experts and know what it takes to buy or sell a short sale in Colorado Springs.
Thanks for reading our Colorado Springs Real Estate Blog! Posted on February 3rd, 2010 by Mariana Wagner
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Colorado Springs Foreclosures: RealtyTrac’s 2009 Foreclosure Report Gives Reason For Optimism
The Colorado Springs real estate market saw 1,487 foreclosures in 2009. Read More: Colorado Springs Foreclosure Report for 2009 Like real estate, it appears that foreclosure activity is a local phenomenon, too. As reported by RealtyTrac.com, more than half of all foreclosure-related activity in 2009 came from just 4 states:
More than 1.4 million filings made in 2009 are attributed to the above states. Furthermore, each ranks in the Top 10 for 2009 Foreclosures Per Capita. The other states are Nevada, Utah, Georgia, Idaho, Michigan and Colorado. Versus 2008, foreclosures are up 21 percent nationwide and that’s a big number, but a deeper look at RealtyTrac’s annual reports reveals a more positive undertone on the housing market.
Foreclosures are still prevalent, though, and buying homes in foreclosure continues to be big business. First-time buyers, move-up buyers, and real estate investors each are bidding aggressively. Distressed homes account for one-third of home resale activity, according to an industry trade group. That said, buying foreclosures can be tricky. First, properties are often sold “as-is” and the cost of repairs may unwind the home’s status as a “value buy”. Furthermore, a lender may require specific fixes to be made prior to closing and that, too, costs money. Second, buying a foreclosed home isn’t as streamlined as buying a “normal” home. Closing on a foreclosure can be a 120-day process or longer. A 4-month time-frame may not fit your schedule. And, third, finding foreclosures can be difficult. Despite the growth in foreclosure search engines, it still takes a good real estate agent to uncover the best homes at the best prices. Read More: Buying a Colorado Springs Foreclosure or Bank Owned Home Read the complete foreclosure report and take a peek at RealtyTrac’s foreclosure heat maps. If you like what you see, talk to your real estate agent about what to do next. There’s still good deals in the foreclosure market — you just have to know where to find them Content of this article brought to you by Bring the Blog. For more information on buying a Colorado Springs foreclosure, please contact the Wagner iTeam for a free, no-obligation home buying consultation: 719.434.7525
Thanks for reading our Colorado Springs Real Estate Blog! Posted on January 23rd, 2010 by Mariana Wagner
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Colorado Springs Foreclosure Report for 2009
Here is the Colorado Springs real estate market foreclosure report for 2009. Colorado Springs saw 1,487 foreclosure or pre-foreclose homes sell in 2009. Foreclosures made up 24% of all homes sales in Colorado Springs last year. Here is how the foreclosure sales were represented throughout the city:
Check Out: Colorado Springs Foreclosure and Short Sale Information How does this break down per area? Briargate Real Estate Market: 71 foreclosures Briargate had only 5% of the city’s sold foreclosures. I would attribute this to the general higher price point of the homes in Briargate as well as the fact that most Briargate home buyers have owned a home in the past and had enough mortgage savvy not to get into a “bad loan”. Briargate DID have the least concentration of foreclosures per area. Central and Downtown Real Estate Markets: 190 foreclosures Central and Downtown Colorado Springs has a lot of smaller homes. Because of this, there are more homes in this area and more opportunities for foreclosure. Additionally, there are a lot of lower priced homes in central Colorado Springs which were very appealing to first time home buyers who maybe should NOT have qualified to buy a home. Eastside Colorado Springs Real Estate Market: 169 foreclosures Like central Colorado Springs, the Eastside has a lot of smaller and less expensive homes – which gives us more potential for foreclosures in this area. Northeast Colorado Springs Real Estate Market: 174 foreclosures The Northeast part of Colorado Springs is one of the largest areas of town, with more homes than almost any area.So, although this area was the 4th largest contributor to the city’s foreclosures, it is actually right in line with the city average. Northwest Colorado Springs Real Estate Market: 44 foreclosures The Northwest part of Colorado Springs wins as having the fewest foreclosures AND the 2nd lowest concentration of forecloses within its area. Northgate and Flying Horse Real Estate Markets: 48 foreclosures The homes in Flying Horse and Northgate are larger, sit on larger lots and generally (like Briargate) are not first-time-home buyer homes. In addition to this, the geographic area is smaller. All of this leads to a very small number of foreclosures. Old Colorado City and Westside Colorado Springs Real Estate Markets: 88 foreclosures The Old Colorado City and Westside areas of Colorado Springs sat right at the city average and right in the middle of the scale when representing area foreclosures. Powers, Marksheffel and Banning Lewis Ranch Real Estate Markets: 315 foreclosures This area contributed the MOST foreclosure sales to the Colorado Springs real estate market in 2009. I attribute this to how new the area is and how many people bought new homes with the Adjustable Rate Mortgage. However, this is one of the largest and most densely packed areas of the city, so the actual ratio of sold homes to foreclosure sales was not much higher than the city average. Southeast Colorado Springs Real Estate Markets: 289 foreclosures Southeast Colorado Springs was the second highest contributor to the Colorado Springs Foreclosure sale market, at 19%. However, it DID rank the highest for foreclosure sales concentration per area. Southwest Colorado Springs and Broadmoor Real Estate Markets: 99 foreclosures Southwest Colorado Springs has a drastic difference in property area types. The eastern part of this area has some of the lowest priced homes in the city, whereas the western parts have some of the most expensive homes ever built and sold in Colorado Springs. This always is “interesting” when trying to accurately compare this area to other real estate markets. So, although the graph shows that the Powers Area was the largest contributor to foreclosures, it is interesting to note that it was the S/E and Central areas of Colorado Springs that had the highest concentrations of foreclosures sell in 2009. Search All Homes for Sale in Colorado SpringsSearch All Colorado Springs ForeclosuresSearch All Colorado Springs
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My Colorado Springs Home is in Foreclosure. When Do I Need to Move Out?According to RealtyTrac, there were 494 foreclosure filings in September 2009 against Colorado Springs home owners. This takes the total to about 29,511 active Colorado Springs foreclosures. One of the questions that we hear a lot is: My Colorado Springs Home is in Foreclosure. When Do I Need to Move Out?
If there are almost 30,000 Colorado Springs foreclosures, then this question is being asked a lot. GOOD NEWS: Just because you fall behind on your mortgage payment, and cannot catch up, does NOT mean that you need to move out immediately. In fact, you may have up to 7 months to stay in your home before you need to move out!* Let’s understand the foreclosure process in Colorado:
Based on this information, you could possibly live in your home for up to another 7 months after your 1st missed payment, before HAVING TO MOVE. Use this time to save your money to get into another home. More Questions? Contact us for a free, no-obligation, Now,there are options that could both have you AVOID foreclosure AND stay in your home even longer. Read More: Foreclosure SUCKS – You Have Options Currently, the Colorado Springs Pikes Peak MLS only shows 1,056 foreclosures either for sale or under contract (as of 11/2/2009). This means that there are about 28,000 people out there who MAY not know that they have a LEGAL and EFFECTIVE way to avoid a foreclosure. This is called a short sale. Read More: Why a Colorado Springs Short Sale is a Great Alternative to Foreclosure If you owe more than your home could sell for, a Colorado Springs SHORT SALE may be a perfect option. Not only will a short sale be a softer hit on your credit than a foreclosure, but a competent real estate agent may also be able to push back the foreclosure date to accommodate a successful closing – giving you even more time to prepare to move. Additionally, when a Colorado Springs home forecloses the bank has the right to go after the foreclosed homeowner for the DEFICIENCY between the loan amount and what the home sold for (after fees). In a short sale, a competent real estate agent can negotiate with the banks to NOT go after the homeowner for this amount, but, instead 1099 (tax) them for the amount. Example:
*Please contact a real estate attorney to see how this does or does not apply to you. If you are still trying to decide what to do, please give us a call. We understand that you are in a crazy and emotional situation and we may be able to help you … with NO OUT OF POCKET EXPENSE TO YOU. We are Certified Distressed Property – Colorado Springs Short Sale Experts and know how to help you. Contact us: 719.434.7525 or ShortSaleHelp@wagneriteam.com
Thanks for reading our Colorado Springs Real Estate Blog! Posted on November 2nd, 2009 by Mariana Wagner
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Colorado Springs Foreclosures in August 2009 – El Paso County MapThe Colorado Springs Real Estate Connection would like to share this map of the August 2009 Foreclosure Rates for El Paso County, CO – which includes the Colorado Springs real estate market. From this map, it appears as though we are rated as “High Foreclosures”, with 1 in every 335 households in some stage of foreclosure …
How does Colorado Springs compare to the rest of the country?
What I find interesting is that El Paso County may rank high for foreclosures, however, we ALSO rank in the TOP 20% for median household income and have some of the country’s lower unemployment rates (between 5.1 – 10%). Many Thanks to Tony Greer – Canyon City Real Estate Agent for reminding me of this great site! Related Articles:
Thanks for reading our Colorado Springs Real Estate Blog! Posted on September 24th, 2009 by Mariana Wagner
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