Is a short sale better than a foreclosure?

Short Easy Answer:  Yes -  (more info)

Longer Answer (with reasons): You are facing foreclosure, which is a terrible experience no matter what the reason is. The bank is in the business of making money, any way they can, and are not looking to lose money off your mortgage. If you allow your home to foreclose the bank will come after you for the difference in the form of a judgement, however with a short sale the bank agrees to a price and sells it. The best way to start the process is to find an experienced Realtor to help you with the whole process, answer the phone and get a short sale packet from your lender, and start looking for new options on where you can live. It is difficult to hear but if your home is in foreclosure there is no magic law that will save your home; if you have reached an impasse with your lender than the best thing is a short sale.

Ben Strom - Realtor
763.221.9773
Ben@fishmls.com

How much does a mortgage cost?

We have all seen the mortgage calculators out there but how do we know they are accurate? So may numbers go into that equation who knows if the loan officer is working you over (most are great,  but I have seen bad ones)? There is a "rule of 6" in the industry and it will work as a good benchmark for mortgage payments. The initial cost of the loan can range from 1%-3% of the mortgaged amount, the loan officer will charge this as a fee to get the loan. The initial cost will be worked into the closing costs of your house so you won't notice that as much as the actual payment. The "rule of 6" refers to the fact that a 6% loan will cost $6 per thousand on the loan. For example $100,000 loan (there is 100 - 1000's) would be 100 x 6 = $600 per month. 6% is a little high for today's times but it is good to know that if you are paying more than 6 dollars per thousand there may be a problem.


Ben Strom
(763) 221-9773
Ben@fishMLS.com
www.TheStromTeam.com

Can anyone find a house that isn't trashed?

     There are houses out there that aren't completely trashed forclosures. You need a real estate agent that looks at the market every day. There are a lot of investors fixing homes and you need someone that know where these deals are before they go on the market. You ever wonder why you go to look at a house and it is a great deal but by the time you get there it is already sold? The secret is it was sold before it even went on the market. Investors don't like their houses on the market for a long time so they start selling their houses months before it goes on the market, you need someone that knows where to look. If you would like to find one of these deals or even a trashed foreclosure to work on, contact me at:

                                          Ben Strom
                                          (763) 221-9773
                                          Ben@fishmls.com
                                          http://www.thestromteam.com/