Short sale/mortgage forgiveness relief act questions - Page 2

[Jilian]

The appraisal was ordered by the bank when they received my short sale packet. They did it about a week ago. They used comparable properties from October 2007, that is why it is outdated. The appraiser used older properties so it would appraise higher. It is not currently worth what it appraised for. My realtor and the buyer's realtor are sending in their own (recent) comparable properties to show the bank that their appraisal is too high. The way the market is right now, property values are dropping every few weeks.

I had to tell the realtor it was a short sale so she could list it as one. We had to get permission from the bank in advance and they told us what to list it at (they said "fair market value"). Short sales are good deals for buyers so many are willing to wait it out for a month to hear back from the bank. But just make sure they know how long the wait will be ahead of time.

[Maggi315]

thanks for explaining that, now it makes more sense. Ours would definitely drop, there are two houses on our block, almost the same design that sold for 50K less than our house appraised for back in June. That's why we aren't holding out much hope that our house would sell for what we need it too, because even if we did find a buyer, the appraisal would never go through.

I guess this kind of thing is going on all over the place, I don't know what banks are going to do when people try to buy and get these much lower appraisals.

Being nosey here, none of my business, but just wondering if you were behind in payments when you went to the bank with the idea of a short sale? I wonder because we aren't behind, but we have called and talked with both our mortgage companies (we have an 80/20) and even sent in all our large medical bills, a letter explaining my health and our situation, and keep calling, emailing, faxing, etc. and so far they seem very unhappy to help out or do anything.

thanks again for the info, hope everything goes through for you OK!

[Jilian]

My bank told me that they would not negotiate with me until I was at least 30 days behind in payments. I explained that we had only enough in savings for a few more months and after that we were in trouble. They said "call back when you are 30 days past due". It is ridiculous, but they are inundated with short sales and will only talk to people who are late.

[georgia]

Jillian, just wanted to send you a and let you know that I'm thinking about you. Hope things are working out

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[Jilian]

Thanks Our short sale fell through. The bank took too long and our buyer lost their financing because mortgage companies are changing their rules and making it harder to get financing. So now we're just waiting and seeing if we can get another offer. The bank did disclose their bottom line, so that is a good thing.

[Jecca]

We almost pruchased a short sale in Decemeber and only chose not to because the seler was not a contractor and built his own house and there were a few questionables in the building department, we could have had a great deal! I would consider it again if one happened by, it is allot different then buying a normal sale house though and aparenetly banks like large earnest money deposits from there buyers.
The house we were looking at had 6 bids going in.
Good luck with your sale

[Jilian]

Wow, our buyer only had to put down a $500 good faith deposit. Short sales are great deals, it just stinks that sometimes you have to wait over a month to hear back on whether or not your offer was accepted. The market is still dropping, so maybe you'll find something even better!

[EarthyMamaofDaisy]

for all you're going through! I gave birth to a heart baby in May and I know how it totally throws off your whole world. I don't have any advice for the real estate stuff but as for the medical bills have you looked into if your state has a supplemental Medicaid program? In NH there is something called Katie Beckett Medicaid for middle income people with a chronically ill child. It picks up the co-pays that your private insurance doesn't cover. I'm not sure if FL has it or if they do if it would be retroactive but I hope you can talk with your hospital's social worker to get some help with medical bills.

[Jilian]

We did get medicaid to cover most of the bills but they are disputing quite a few. They are also dropping DS in a few months, then we will go onto DH's insurance and that has a lot of co-pays. We applied for SSDI and were denied and we're currently appealing the ruling. But because DS is not technically "disabled" we're not sure it will be approved. I don't have high hopes for it getting approved - if it does he will get back on medicaid.