Florida Short Sales
Are Short Sales Becoming A Thing Of The Past? Not Quite Yet, They Aren’t.
A recent report by RealtyTrac estimates that almost 43% of homes in the Tampa Bay area are “underwater.” That figure represents the third highest number of homes “underwater” in the Country. The 43% figure represents a slight decrease from last year at 46%, but still marks a significant number of homeowners.
Why there are still a high number of Florida Short Sales: The effect of so many underwater homes means that Tampa Bay homeowners are essentially locked into their properties for the foreseeable future. The fact remains that when homeowners are on the hook for deficiency amounts, the ability to make life changes is hindered. Pam Marron, a loan officer in the Tampa Bay area put it well when she stated that the high number of underwater mortgages prevents homeowners from searching for new jobs, moving towns, or following their dreams to apply to a job opportunity elsewhere.
Moreover, the anticipated timeframe for the majority of these homeowners to see equity in their homes is five years or more. Accordingly, for homeowners who need a fast escape, the short sale remains a viable option. While there are some potential negative impacts associated with the short sale option, it does free the homeowner from being underwater on their investment and allows them the opportunity to pursue alternative options elsewhere.
The decision to pursue a short sale is not one that should be taken lightly. There are many factors to consider, and you should speak to your real estate attorney to get a full evaluation of the circumstances. At DeWitt Law, we have handled hundreds of short sales and can fully advise you on how to avoid pitfalls with your lender. If you are considering a short sale, call us today for a free consultation.