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! : Short Sale Realtor Tip #24, Both Borrowers & Lenders Are Walking Away From The Home, With The Borrower Left With The Bag! Beverly Hills, Michigan! Mike Sher

The link below comes from a CNN report on how banks are foreclosing on borrowers but never taking title so the borrowers are foreclosed on but still have all of the obligations as owners of the home.  All city fines, taxes, assessment and any violations from the municipality are still the responsibility of the now foreclosed borrower.  Also don't forget the balance of the note plus late fees and interest are still the obligation of the borrower. 

Why would the bank do this?  The value of the asset (borrower's home) has declined to a point that it would cost the bank more money to maintain, repair, pay off past fines, dues, legal costs, closing costs, past taxes and commissions to sell the home compared to just walking away.   

This is just another reason why a Short Sale, Loan Modification or Deed In Lieu are worth the extra work to avoid a foreclosure.    If you are going to walk away, I would recommend running and never stopping!!!

 http://money.cnn.com/video/news/2009/08/13/news.bank.walkaways.cnnmoney/

Mike Sher, CDPE: http://hosted.cdpe.com/MikeRealtor/

Office: (248) 644-4700x242 Fax :(248) 499-1020 Bloomfield Hills, MI 48302 E-mail: mike@mikerealtor.com

CDPE (Certified Distress Property Expert)

MCAR, Short Sale Trainer Max Brook and Real Estate One Short Sale Specialist.

The Mike Realtor Team Blog - Metro Detroit/Oakland County Servicing in Southeast Oakland County, Auburn Hills, Birmingham, Bloomfield, Berkley, Beverly Hills, Canton, Clawson, Farmington Hills, Ferndale, Huntington Woods, Northville, Novi, Pleasant Ridge, Plymouth, Royal Oak, Rochester Hills, West Bloomfield, Troy, etc. We worked with: Bank of America, Country Wide, HSBC, EverHome, Litton, GMAC, Chase, Wells Fargo, Flagstar, Fifth Third, Charter One, Comerica, Am Trust, US Bank, National City But, We Can Help! This is a competitive real estate market. If you have to sell and can not, perhaps it is time to look at a Short Sale. The Mike Realtor Team has performed dozens of Short Sales for professionals who have lost their job, income has declined, medical problems, relocation, retirement, divorce, loss of spouse, unable to make ends meet, or other reasons not listed.