Huntington Beach CA – The Stop Foreclosure Institute recently received a question from Werner. “I am behind on my payments and thinking of just letting my home go into foreclosure. What does that do to the neighborhood?” he asked.
Here is our answer to his question. It does hurt the neighborhood. But, it also hurts you.
Most banks do not do a good job of processing and handling foreclosures. They take 12-18 months to foreclosure on a house and then sell it.
In the meantime they do little to maintain the home. I estimate that half of all the properties I have seen in foreclosure have never even been checked on by the lender.
It has gotten so bad that one homeowner even started up a website to report on these banks. The website is called Lender Offender.
Check it out here: www.LenderOffender.com.
Here is an example of one of the homes on the site.
The home was probably posted by one of the neighbors. Here is what they said about it on the site:
“Sheriff sold 4/25/09 to IndyMac Bank. Neighbors have now given up mowing the property. People have either been squating or visiting the house through open doors.
IndyMac refuses to talk to neighbors and refers us to Elkhart County who says IndyMac owns property outright. County will mow and fine at least once, but won’t keep mowing.
Property not up for sale. Thanks for being such a horrible and unresponsive neighbor IndyMac. Shame on you. ”
In my opinion these banks are not being responsible with these properties. The biggest problem is that Uncle Sam usually takes the fall for any loss.
Uncle Sam does this by guaranteeing them against loss on many mortgages. Or in other cases, Uncle Sam has already bought the defaulted loan from the bank.
The homes eventually sell for a discount after the foreclosure. No home buyer is going to pay market value for a home that needs repairs!
This gives the banks little incentive to check on these properties. Fortunately you can help.
Stay in your home until it sells. Keep it looking good and everything in good order.
Then, put it up for sale as a short sale. That will help protect the property values in your neighborhood.
Thinking about a short sale? I can help you short sale your property and never pay the bank another penny. Send me an e-mail at Tony@HunthausenGroup.com. I will contact you for a free consultation.
When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at 714-334-7808
Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.
Thinking about a loan modification? Our Huntington Beach loan modification kit has the instructions you will need to get a loan modification approved with your bank. Click here to request a copy.
Thanks for reading this, Tony Hunthausen.
Tony is a Real Estate Broker Associate at Remax Select One. Huntington Beach Short Sales Realtor:
Phone: 714-334-7808. Tony@HunthausenGroup.com.
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Tony Hunthausen specializes in loan modification assistance and short sales in Huntington Beach California. Huntington Beach Loan Modification Help, Huntington Beach Short Sales. Huntington Beach Short Sale Realtor
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Copyright 2010 SFI Marketing Institute, LLC. All Rights Reserved. This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing. The views expressed here are Tony Hunthausen’s personal views and do not reflect the views of Remax Select One.
This information on Huntington Beach Short Sales: What does letting a house go into foreclosure do to the neighborhood? is provided as a courtesy to our viewers to help them make informed decisions.