Some homeowners in California may benefit from going through a short sale. Short sales occur when owners sell their homes for less than what they owe on their mortgages. These tend to occur during economic downturns such as the Great Recession. When a buyer makes an offer on a home, the owner asks the bank to approve the sale. The bank will ask for evidence that the seller cannot repay the loan in full.
When a home is sold in California or anywhere else in the United States, a buyer must usually get a new mortgage to pay for it. The seller will use the proceeds from the sale to pay off the mortgage he or she currently holds on the property. However, there are situations in which a mortgage can be transferred from one party to another.
Homeowners in California who are struggling to pay their mortgage could avoid being foreclosed on. For those who qualify, a short sale allows a home to be sold for less than what is owed on a home loan. Short sales are usually only an option for those who have shown that they are experiencing long-term financial issues and are unable to refinance their loan.
When homeowners in California run into financial difficulties and owe far more on mortgages than their properties are worth, their lenders may sometimes agree to accept what are known as short sales. Short sales prevent lenders from taking even larger losses and allow them to avoid paying the costs involved in pursuing foreclosure. However, these complex real estate transactions can be time-consuming and difficult to close.
Some Californians may be interested in purchasing a home in Santa Monica. The demand there is very high and the average prices reflect that, with homes going for a median price of $1.6 million. Whether people are wanting to purchase a home in Santa Monica or to sell one, it is important for them to understand the market as it currently stands there.
When people are thinking about buying or selling their California homes, choosing the right real estate agent is imperative. Like other professionals, not all real estate agents are the same, and some bring significantly more benefit and talent to the table.
Real estate investors in California may be interested in the Urban Land Institute's latest forecast for the period between 2016 and 2018. The biannual 'ULI Real Estate Consensus Forecast" was released on April 6, but a synopsis of the report was available earlier. Compiled in March by the ULI Center for Capital Markets and Real Estate, the report covered information gathered from 38 different real estate economists.
Selling a home can be a difficult and drawn-out process, as many California homeowners probably already know. For those going through the process for the first time, however, some tips may come in handy and help the sale go more smoothly.
Homeowners in California and around the country are often reluctant to place their properties on the market because they fear that they will be unable to find a suitable replacement home. This is one of the findings of an annual survey of real estate agents conducted by a leading industry brokerage firm. Agents say that a shortage of new construction and increasingly reluctant sellers have made 2016 an excellent time to put a home on the market but not a very good time to buy one.
Many people believe that they can make it rich with real estate, and it is possible, but it may be harder than expected. If a person has decided to make money buying and selling this type of property, it's important to avoid making several mistakes. Some common errors are failing to understand how hard it is to find a bargain or where to look to find good deals and paying too much for a property.