Short Sale Realtors: Bloomfield / Birmingham / Novi / Troy / Rochester / Beverly Hills / West Bloomfield / Franklin / Royal Oak / Huntington Woods / Oakland County / Detroit Metro Area The Mike Realtor Team! : January 2011

Bloomfield Michigan Short Sale Expert Press Release "Struggling Homeowners Seeking to Work With Lenders to Find Solution" Mike Sher (248) 644-4700x242, Max Broock

FOR IMMEDIATE RELEASE                               

For more information, please contact:   Mike Sher, Max Broock Realtors ,248 496-1572,  mike@mikerealtor.com

Local Agent Releases New Report for Struggling Homeowners Seeking to Work With Lenders to Find Solution 

Online report outlines foreclosure alternatives for homeowners struggling to make mortgage payments in Oakland, Macomb and Wayne/Detroit Metro Area.

Bloomfield Hills, Michigan- 1/25/2011 - Local CDPE-designated agent, Mike Sher of Max Broock Realtors has developed a website providing information describing several opportunities for homeowners to avoid the negative financial impact of foreclosure. 

This community resource is available at www.ShortSaleOaklandCounty.com  and defines foreclosure alternatives, including short sales, loan modifications and deeds-in-lieu of foreclosure. 

"The New Year is when most Americans set goals to increase their financial stability, but for many in Detroiters, financial stability seems unattainable," Sher said.  "With this report, I'm showing homeowners that they have options and that lenders are now more than ever willing to work with them."

According to Fitch Ratings, lenders are projected to lose 45-85% of the initial loan amount in foreclosure sales in 2011. In a short sale transaction, homeowners avoid foreclosure by working with their lenders and selling their property for less than the mortgage amount owed. Although lenders accept less, the financial loss is far less severe than a foreclosure.

"In the New Year, we all want to look forward to a prosperous future and it's frustrating when stability seems out of reach," Sher said.  "What struggling homeowners need to understand is that there are alternatives to foreclosure. All they need to do is ask for help."

The CDPE Designation Sher has acquired provides a specific understanding of the complex issues confronting distressed homeowners.  Through comprehensive training and experience, CDPE-designated agents are able to provide solutions for homeowners facing financial hardship in today's market.

To learn more, visit www.ShortSaleOaklandCounty.com

 Birmingham MI Short sale tip #59, "What do you mean I still owe money?"Mike Sher (248) 644-4700 x242 Max Broock Realtors Certified Distress Property Expert

Often Short Sale sellers are told that in a Short Sale you will not have to pay the bank back any money.  Some times that is true and sometimes it is not.  Remember when you got the loan you signed both a mortgage and a note.  The MORTGAGE is a lien on the home so if you default on the note, the bank has the right to seize the home as collateral.  While the NOTE; is a promise to pay the full amount of the loan no matter what. 

A Short Sale is when the lender releases the lien/mortgage and the borrower/seller then can sell the home for less than the note value.  BUT, your lender does not always release the amount owed. The borrower might have to sign a promissory note or renegotiate the terms of the deficiency post short sale closing.

Many borrowers/sellers are unaware of the fact that they might still be on the hook for the remainder of the loan until the day of closing or worse months after.  The borrowers/sellers post closing obligation is often determined by his/her future collectability and whether MI (Mortgage Insurance) chooses to be difficult.  Collectability is determined by factors like age, income, credit, employment and future income potential.  If the bank thinks the borrower is doing a short sale by choice and less by economic necessity, that borrower should expect to contribute in some way or this short sale is DIA.  As for the loans with MI, you should expect a fight from them no matter what the borrowers reasons are for the Short Sale.

Many borrowers/sellers become angry and decided to give up once they are aware of their need to contribute to the short sale.   They stop making payments and force the bank to foreclose on the home in hopes that doing so would hurt the bank. Sadly that is not true and the fact that CITI bank had record profits in 2010 shows that banks are just fine.   Plus in MICHIGAN it is important to understand that in Foreclosure the borrower will often owe more money and do great damage to their credit then if they completed the short sale.  That is why a Short Sale is often the better route even if you owe some money post closing then a MICHIGAN foreclosure.  My next blog will be on the ramifications of Foreclosure.  And like always seek legal and financial advice from an attorney and/or CPA before acting.

Mike Sher, Associate Broker,Max Broock/ Real Estate One, 248 644-4700 x242 Sent from my Verizon Wireless BlackBerry ***Please be advised that Mike Sher, Katherine Green and Max Broock Realtors are not attorneys nor tax professionals. Our correspondence should NOT BE interpreted as that of the advice of legal counsel or tax professionals. We recommend seeking the advice of a tax and or legal professional with matters pertaining to Short Sales and other related questions.   ***

2010 Oakland County Michigan Short Sale, Bank Owned and Traditional Sale Market Share by Mike Sher, (248) 644-4700x242, Max Broock

So, what is the break down of the Oakland County Michigan housing market anyways?   We have all read the articles, watched our CNBC and local media outlets.  We have heard speeches from Bush and Obama, Granholm and John/Jayne Q Taxpayer; now here are the numbers.

As the chart shows, the distress Market is a major part of the Oakland County housing market.  Distressed sales made up 54% of sales in 2010, (of that 39% Bank Owed and 15% Short Sale.)  The traditional sales market is now only 45%.  So what does that mean to the consumer; if you are buying or selling a home in Oakland County, you NEED a Realtor with distressed property experience.  The traditional realtor is a dieing breed.  The new Realtor knows about Foreclosures and Short Sales.   He or She is well read and up to date on how this new real estate market works, acts and looks like.  Even if you are selling or buying a NON-distressed home, your agent must understand the fundamentals of the distressed market.  No home owner is an island and when 54% of the market is distressed, today's agent needs to be well equipped to get you the results you deserve.

To find out more on how the Mike Sher Team can help you, please contact me today.  Mike Sher (248) 496-1572, mike@mikerealtror.com Max Broock Realtors

2010 Results, 65 Units Sold, $10,000,000 in volume and 26 Short Sales Sold

Just got a call from short sale seller in the Detroit area, whose Realtors has given up. He is negotiating a short sale with SunTrust.  1^st lien is Freddie and the 2^nd held by SunTrust with the EVIL MORTGAGE INSURANCE  (boo, hsss, boo).  Well his realtor seems to be on sabbatical, now our poor seller stands alone, calling other Realtors for help, with the same desperate look as the guy who holds the "work for food sign" of the expressway.  This is a sad development that I have noticed.  Many of my fellow Realtors have developed a "when going gets tough, the Realtors gets gone", until closing day when they are first in line to get paid.

Now I am a Realtor, so please understand that we are not all the same.  Just like any profession, there are those who do an adequate job, a great job and a lousy job.  80/20 rule prevails, 20% of the production is handled by 80% of the Realtors while the other 20% of the superior Realtors are able to handle the remaining 80%.  1^strule of thumb is making sure your agent is in the top 20%.   Don't get me wrong, the other 80% of agents are good folks but they have 2^nd jobs, are part timers or have to many other commitments to keep them affective in today's market.

The calls I get are often way too late to change Realtors and they are always with agents who don't know what they are doing.  I know this is negative but it is sadly true.

Back to the story, the caller has an offer in for about 40% of the amount owed between the two loans.  The bank is willing to release the 60% if the seller brings about $5000 to close.  $3600 of it before closing to settle the 2^nd loan and $1400 at closing to settle the 1^stloan, his Realtor has been pushing the seller to close no matter what from the start so now the seller does not know if this is a good deal or if the Realtor is just saying sign to get paid. 

After talking to the seller for 20 minutes on the phone for NO CHARGE!!  He now knows that it is a good deal.  He also knows why.  Often the missing piece of this crazy Short Sale jigsaw we are in is WHY.  The homeowners want to know why and many Realtors are either unable or unwilling to explain why!  They need to explain; What is pool insurance, Why do I need to sign a promissory note, Who is the investor, What is a deficiency, What is the forgiveness of debt act, Will I get 1099C, Will I owe money after closing, What is a unsecured debt, What is the difference between an investor and servicer, What is HAFA, What is Deed-in-lieu, What is Cash For Keys, What is Redemption, What is 90 day Michigan Pre-foreclosure mediation law, Why is a Short Sale better the a Foreclosure, and etc.

In closing, if you, or  someone you know is buying or selling a home.  No matter if it is a Foreclosure, Short Sale or Traditional Sale.   Experience counts.  Contact me or another Realtor who is selling at least 40 homes a year that are short sales, foreclosures and traditional sales. Ask for references and testimonials.  You want the Realtor who knows this market and will be with you from the beginning to the end.  No one wants to be on an unguided trail though the abyss.   

Mike Sher, Max Broock Realtors, 2010 Stats: 25 Short Sales, 70 sales and $8,500.000.00 in sales  Cell: 248-496-1572 to mike@MikeRealtor.com 

**Please be advised that Mike Sher, Katherine Green and Max Broock Realtors are not attorneys nor tax professionals. Our correspondence should NOT BE  interpreted as that of the advice of legal counsel or tax professionals. We recommend seeking the advice of a tax and or legal professional with matters pertaining to Short Sales and other related questions.   ***

As you can probably imagine, I have been busy helping distressed homeowners, and I wanted to take this opportunity to get in touch and offer my assistance to anyone you know who might be in a similar situation.

You've probably read or heard in the news that politicians across the nation are asking for a federal foreclosure moratorium. This may seem like a gift, especially during the holidays, but the reality is that a foreclosure freeze is not the answer to the problem of foreclosure.

You may know by now that I've earned my Certified Distressed Property Expert designation, and I am extensively trained to help homeowners who feel like they have no control over their situation take back this part of their lives.  I can provide important information, like the Five Steps to Avoid Foreclosure.

I've put together the five steps in a report that can be downloaded on a website I've set up:

http://shortsaleoaklandcounty.com/Freezes-in-Foreclosure.aspx

Please send this link to anyone who might find it helpful today.  The first step for any distressed homeowner to avoid foreclosure is to take action now!

I hope you and yours have a wonderful holiday season and I look forward to hearing from you.

Sincerely yours,

Mike Sher
mike@mikerealtor.com
248 496-1572

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Wow, I just got a call from one of our soldiers overseas who was to closing on a Bank Of America Short Sale today.  He started off with "I know you are not my Realtor but I need your help."  He proceeded with the story of how he was suppose to close on a home today but both Realtors were unable to reach Bank Of  America (BOA) to get the final ok on the short sale.  Their BOA contact was out of the office and was unreachable. His wife flew in to Detroit from Washington State for the day and needed to fly home.  If they could not close today, they most likely will not be able to buy the house since his wife is needed back home and he was ½ way around the world. 

Side note: The first mistake was made when the closing was set without the BOA's contact knowledge.  We must remember that these negotiators do get sick and have vacation time and they are not available as needed.   The listing agent most likely made the amateur mistake of not keeping the BOA negotiator in the loop.

Back to the story:  I proceed to let him know what I would do.  I would have the 3^rdparty authorized person call 866-880-1232 BOA's short sale hot line and find out who is covering for the negotiator in his/her absences.  RULE number one of getting unstuck in a short sale is going back to the beginning.   Many Realtors just end up filling the voice mail of the negotiator they have in hand and wait for a call back.  You must look at short sales like chess, just because a queen is considered the most revered piece, often the pawn is what gives you the check mate.  These Pawns/customer service/ Short Sale support people often wield more power and know how then the King, queen, or knights all put together.

After the agent calls the main short sale dept, then they should shoot an email to the negotiator that is out and see what the auto reply says.  Often the auto reply will give you the name of the person you should talk to in their absence.  Next, call and email all of the parties that the agent spoke to in the process getting the short sale approved.  This again is "the going back to the beginning approach", remember, the agent spoke to a lot of people before she/he got the approval.  Any of those people might be able to get you back on track.  When one gets lost in the woods, they go back to the last wrong turn they made and then make the right turn.  Same thing in short sales, better to take 3 steps back then 10 steps further in the wrong direction.  The next thing the agent should do is go back on to equator to email all of the parties available explaining that our negotiator is gone for the day and we have to close.  I would add that the buyer is a soldier serving over seas and this situation is really causing him a lot of stress.  Every one appreciates what our solders are doing so adding that detail should help.   After that email is sent, the Realtor should get some action soon. 

The real issue at hand is that neither the listing agent nor the buyer's agent really know what they are doing.  The fact that this soldier/buyer had to contact me off of a blog that I wrote from across the world because his agent did not know what do and was unwilling to call for help herself is VERY sad. That is why it is so important to get a realtor who knows short sales.  Whether you are buying or seller a short sale home, an experienced agent makes all the difference.

Mike Sher, Max Broock Realtors, Bloomfield Hills MI, Shortsale@mikerealtor.com and (248) 644-4700 x242

Oakland County Home Owner:
   
Happy Holidays! I hope you're well and 2010 has been prosperous for you. Now that the year is almost over, I'm reminded to set new goals and to ask you for help in achieving one of them.

As a CDPE-designated agent, I have received extensive training to help those struggling to make mortgage payments avoid foreclosure. I provide homeowners with alternatives to make the best decisions in securing their financial futures.

My goal for 2011 is to help as many people as possible either stay in their homes or pursue other avenues to avoid foreclosure. I want to help make financial stability their resolution for 2011. I've even created a free report at the following site to help:

http://shortsaleoaklandcounty.com/

The report defines mortgage modification and other solutions to help struggling homeowners. If you know anyone who may find the report or my services useful, please have them contact me today. Together, we can offer hope to those who need it most.

Have a tremendous holiday, and a phenomenal New Year!

Sincerely yours,

Mike Sher
mike@mikerealtor.com
248 496-1572

Oakland County Home Owner!

Did you know nine trillion dollars of home equity has been erased over the last four years? Or that the total number of foreclosures has jumped at least 40% per year since 2006? Economists expect another record number of foreclosures in 2011!

In Oakland County Distressed sales comprised 54% of the entire market for the year of 2010.  Realcomp Data

The good news is that I can help. As a CDPE, I have received extensive training to help homeowners who are struggling with their mortgage payments by showing them alternatives to foreclosure. With your help, I can restore hope for those who need it most.

For more information on foreclosure alternatives, you can download the free report I've created at:

http://www.ShortSaleOaklandCounty.com

If you or someone you know is struggling with the fear of losing their home to foreclosure, please, call me today. Don't let those you care about become another statistic.

Sincerely,

Mike Sher
Max Broock Realtors
248 496-1572

We recommend consulting an Attorney and/or Tax Professional to discuss your options.