AZ Short sales are here to stay. As homeowners understand their options in today’s difficult climate, more and more families are opting for short sales over going into foreclosure. With 3/1 ARMS and 5/1 ARMS coming due, many homeowners will be faced with increased mortgage payments as their interest rates adjust. This will cause many homeowners, who may be currently struggling to make their payments, faced with having to sell their homes. Current values being down in most Arizona communities as much as 50% in some areas, will limit a sellers ability to modify their loans into something they can afford, hence the short sale option.
How is the Arizona Real Estate Marketing reacting to the influx of Short Sale Properties? Here are the Stats for the North Glendale AZ market.
Year over year stats show New Listings up about 23% from last year. Homes under contract for this same period are up 13% The number of homes actually sold are up 29%!!! Prices have decreased about 25% from the same period last year. Yes we are still in a declining market with some areas seeing a stabilization of prices.
A good portion of these homes are listed as Short Sales. Why? The bank does not want to take these properties back and as long as they can net even a few pennies more by doing a Short Sale over a Foreclosure, they will work with you. It is all about the numbers, nothing emotional. If the numbers work that is great, if not then they will Foreclose. In fact, new Making Home Affordable Guidelines that have recently been rolled out state that if you have a lien holder that services Fannie Mae and Freddie Mac loans they cannot foreclose while your home is listed as a short sale. To find out if your loan servicer is participating in this program, please contact me.
If you are thinking of doing an Arizona Short Sale consider this: This market may be around for at least 5-7 years, with prices stabilizing in some areas. Short Sale your home, save your credit, work to rebuild your credit and start the healing process and in a couple of years you could become a homeowner again….while the market is still stabilizing.
To learn more about short sales, please visit http://www.homesbyelise.com/shortsale.html
Elise Fay
AZ Short Sales
623-878-8500
We are not the FHA, VA, USDA, HUD or any other government organization. The content on this blog is intended for information purposes only.
Good article about short sales — looks like your market is still declining, but maybe starting to stabalize. Best of luck!
The worse thing to think when you face a foreclosure is the possibility to lose your home, but sometimes is better do a short sale, lose some money, rebuld your credit, and then buy a house. The Arizona foreclosures for sale market is suffering, and will suffer for more few year with the crisis.