Santa Cruz Short Sales Timelines Reduced

Hyko Roppel April 20, 2012

Santa Cruz Real Estate | Buying and selling Santa Cruz short sales may have just gotten a little easier.

Home buyers interested in Santa Cruz short sales and homeowners who are interested in selling short received some good news this week. Freddie Mac established new timelines to aid in expediting decisions for borrowers. Under the new guidelines, once a completed application has been submitted, the bank must reach a decision within 60 days. Applications may be submitted in the form of a traditional offer or a Borrower Response Package (BRP). After 30 days, the new guidelines require weekly updates, as well. If a counteroffer is extended, response time has been regulated too, allowing borrowers 5 days and the servicer 10 days to come to a decision.

The recent real estate market resulted in 45,623 short sales closed by Freddie Mac in 2011, an increase of 140% from the amount of short sales they serviced in 2009. In 2011 about 18% of all Santa Cruz home sales were short sales.  According to Tracy Mooney, Senior Vice President, Single-Family Servicing and REO, of Freddie Mac, “Short sales are more complex than routine home sales since they may involve multiple parties and long-distance negotiating. Freddie Mac’s new timelines are intended to help make the decision process more transparent and timely for short-sales under the Obama Administration’s HAFA program or Freddie Mac’s traditional short-sale option.”

SFR Certified RealtorIf you are purchasing a home through the short sale process, expect to spend more time and research in identifying the home you decide to purchase. As an SFR Certified Short Sale Expert, I can also assist you in qualifying to short sale your Santa Cruz County home through the Home Affordable Foreclosure Alternatives or HAFA Program. Once qualified, as your Realtor and Certified Short Sale & Foreclosure Resource, I research all liens or mortgages and contact the lenders directly for all negotiations prior to the completion of the sale.

Your alternatives to foreclosure are more available than ever. For more information, contact hyko@servingsantacruzcounty.com.

Serving Santa Cruz County | Hyko Roppel | Santa Cruz Real Estate

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