ORANGE COUNTY, CA: A recent report from the Amherst Securities Group shows that in most cases, short sales are a more effective loss mitigation approach, as they minimize loss severity, as compared to Foreclosure.
The Amherst Securities study shows that the loss severity on Short Sales is 15% to 20% less than the average losses bank take for Foreclosures. Federal officials have created financial incentive programs that now encourage banks and servicers to pursue short sales and in-lieu of Foreclosure.
In addition, and New Program has been created to help some troubled homeowners. The new Short Sale and Buy program allows some property owners to Short Sale their existing home, and buy a similar replacement home at today’s very low property values, while using a 3.5% down FHA loan. We will write about this new program as new details are published.
In addition, many banks and servicers are now passing on their Federal incentives. These Banks are now offering Cash for Cooperation of up to 1% of the Sale price, to encourage struggling homeowners to cooperate with a short sale, versus letting the home go to Foreclosure.
For information about short sales, or your home mortgage situation, please feel free to contact the Experts at Short Sales ASAP, at: 949-388-3396, or email at: Info@ShortSalesASAP.com
Orange County Short Sale Experts
