It was proclaimed yesterday that Central Valley homeowners will find the short sale process easier starting in November 2012. Really???? The FHFA announced changes in the mortgage-finance giants Fannie Mae and Freddie Mac guidelines. The changes include extending short sale help to homeowners who are experiencing a hardship but have not yet missed mortgage payments. Currently Fannie Mae and Freddie Mac generally will consider a short sale only if a homeowner is behind on payments. But like all government programs with good intentions you have to look at the small print. The guidelines also reduce the amount that second-lien holders receive to a maximum of $6,000. This is will streamline the short sale process??? Really????? I am sure the 2nds that are owned 100s of thousands of dollars and may have the right to pursue deficiencies after foreclosure will be lined up to accept pennies on the dollar! What will the impact be on Stockton short sales, Lathrop short sales, Tracy short sales, Mountain House short sales, Ripon short sales, Manteca short sales, Lodi short sales and Elk Grove short sales be? Not sure….stay tuned!
Pat Holkesvig is an experienced Central Valley listing broker. She is well versed in Central Valley short sales, foreclosure and traditional transactions. Call Pat at (209) 471-0285 with your real estate questions!