Since the housing bubble burst, appraisers have come under intense pressure for failing to account for actual market conditions. Though it is not all doom and gloom as national news is not always in line with the local perspective. What better way to safeguard your future investment than by selecting to work with local industry professionals who not only understand the local market but are privy to the nuances and trends within the markets. Local appraisal companies want to engage sellers at an early point in the process to provide an actual snapshot of market value based on true comparables in their neighborhoods. Should the presence of short sales or foreclosed properties threaten to sabotage the sale or purchase, individuals can at least count on having a robust conversation with the lender or appraiser. Local lenders and appraisers are focused on client’s best interest and are dedicated to keep the community moving forward in these uncertain times. Buying locally is all the rage for a sustainable environment. Applying that same practice to our home buying/selling practices may just save us all some heart ache, and be the key to working intelligently within the ever-changing system.
A deed in lieu of foreclosure is “one of the oldest concepts in real estate”, though it has recently surged back into the limelight given the current climate fostered by the abundance of short sales and foreclosures in our market. Banks have a very clear incentive to find a resolution to their borrowers’ default, as it all boils down to speed. Deeds in lieu allow banks to quickly gain ownership of their borrowers’ properties and in turn are able to resell the property. This type of alternative may not be appropriate for those cases involving serious mortgage default, for instance if you have a substantial amount of equity built up in your home, you may wish to seek a loan modification and then go down the route of a short sale before simply handing over all your hard earned equity to your lender!