A short sale is a transaction that occurs when a homeowner owes more in his home that it is worth.  For instance:

• Mr. Jones owns a home on 123 River Street
• His loan is $250,000
• Market value is $200,000
• Mr. Jones is $50,000 upside down

In order for him to sell his home and pay off all of the debt to the bank, he must do one of a couple things:

1. Bring $50,000 cash to closing.
2. Sell other assets (if any) to bring $50,000 cash to closing
3. Ask the bank for a BIG favor and have them lower their loan amount and forgive the $50,000

Number 3 is the basic definition of a short sale: Ask the bank for a BIG favor and have them lower the loan amount on a home and release the lien so the home can be sold.

If you have further questions about short sales,  please ask.  Thanks!

Here are some related short sale links:

• The Best Short Sale advice ever!
• Short Sale: Common Questions
• Short sales still causing headaches

Short sale transactions have to be one of the most frustrating types. The banks play at their own pace and by their own rules, making it difficult for consumers to get clear, timely answers.

I spend a lot of time on Trulia.com where I try and help people get answers to their questions and to provide some expertise that will hopefully build relationships and credibility for me and my business.

Here are a couple problems that I’ve seen on Trulia and in some cases my answers to their questions! You’ll see that while many agents have gotten used to the short sale process, consumers still struggle with the way banks work.

How do Short sale offers work?

Short sale question #1

How many short sales are closing?

Frustrated Short Sale Buyer

Also, if you haven’t already, check out the forums here at BoiseRealEstateSoup and ask your questions about real estate or share some experiences that you may have had as a homeowner!

**Looking for a home?  Click here to use my free Boise Home Search Tool!

I just added a Tax Credit Deadline Countdown timer to the far right sidebar of Boise Real Estate Soup!  Check it out!

Tax Credit Deadline:
[fergcorp_cdt_single date="4/30/2010"]

If  you’re trying to beat the April 30th deadline, you better get moving to find your home.  Feel free to do a free home search to find all of the Boise Homes For Sale.  I’d recommend steering clear of most short sales unless there is a real good reason to investigate.  Bank Owned homes are popping up all over the Boise Real Estate Market and offer some clear advantages over short sales.

Let me know how I can help you get moving on your purchase!   Call me today!

Ironic how these talks will begin just after the re-inauguration of a $125 Million remodel project and the green light to begin work on the Garrity Interchange–among others.

Keep in mind these cuts are probably going to have more of a dramatic impact on rural districts than Boise Schools or Meridian Schools.

Are you kidding me?  Who are these people? These kids get one shot at grade school, junior high and high school.  What are your thoughts?

VOTE HERE

[poll id="2"]

If you’re going to buy a home in Meridian, it’s worth your time to read this short article about which subdivisions are selling best!

Out of curiosity today I decided I would go through the MLS and find the top selling subdivisions in Meridian year-to-date.  I had pretty good idea which subdivisions I thought would be the top and kind of surprised myself to know that I was pretty darn close.

This list doesn’t necessarily try to assert which subdivisions are the best, but simply point out which ones have had the most sales year-to-date.  Each subdivision is very unique, offers different amenities, has different styles of homes in somewhat different price ranges.  I think it would be safe to point out however, that there are similarities between each of these subdivisions that make them the top performing subdivisions in Meridian.

***As an added bonus I decided to see which of these subdivisions had the most distressed properties.  The total amount of distressed properties really has nothing to do with the success or failure of each subdivision, they’re way too many factors involved to try to distinguish exactly why there would be a difference in distressed properties: age of the subdivision, timing of the construction, and personal ownership.

So without further ado here are the…

Top-selling subdivisions in Meridian:

• Saguaro Canyon — 36 Homes Sold
• Bridge Tower — 38 Homes Sold
• Lochsa Falls — 64 Homes Sold
• Paramount — 64 Homes Sold
• Tuscany — 67 Homes Sold

As I mentioned the homes on this list got here not because of one being better than the other, but because the total number of homes sold year-to-date I have to bend the rules slightly however because it Lochsa Falls more than half of the properties were financially distressed.  Again this doesn’t necessarily make Lochsa Falls a bad place to live, unless of course you like living next to homes that are bank owned and vacant.

Subdivision with the Most Distressed Properties

Lochsa Falls– of the 64 sales, 41 of them were either bank owned, a short sale, or in foreclosure. Some of you might know Lochsa Falls was pretty much built out  during the real estate boom.  The large quantity of distressed properties is most likely the reason that Lochsa Falls had so many sales in 2009.

Be an Educated Buyer!

I think it’s safe to say that over the years these 5 subdivisions have had quite a lot of draw and buyer attention.  I also think it’s safe to say that if you currently buying in today’s market the one of these five places could be a good pick. Don’t forget though you need to sit down and draw out your Home Buyer Action Plan that includes a well thought out goal for your family, a budget and a plan B.

There are lots of good places to buy that aren’t on this list, but before you consider making a purchase in a different subdivision you need to be educated on why some real estate is better than other real estate.

If you would like to sit down and have me draw out a Home Buyer Action Plan for you, and help determine if you’re ready to buy a home in this market please give me a call or send me a friendly e-mail.

Also don’t forget to subscribe to this blog so that you’re notified of new market updates, good deals, and important real estate news!