We’re experiencing a time in our local real estate market when there is a lot of good news, and when the overall market is extremely positive. It could be said there is “something for everybody.” Some remain skeptical, but that is understandable, since we were hit pretty hard by the past downturn in our market, and many are still affected by it.
That dramatic plunge in values during past years left some us financially damaged. However, the bottom of that particular market plunge was now over a year ago. It is in our past. Reports from December 2012 show us at least 12 consecutive months of price increases in South Florida.
Although it leaves a lingering impact, and will take a long time (if ever) to recover financially, those are still the results of a “past” problem. There are many opportunities now.
For homeowners still trapped by the low value of their property and a mortgage, there are more options and support from the government and banking institutions than ever before. If you or someone you know needs help, it is recommended they consult a Realtor with “short sale” experience and a CDPE (Certified Distressed Property Expert) designation. Even for these “short sellers” (people whose properties are worth less than what they owe), the market is recovering quickly. Or, you can refinance while interests rates are at all time lows. No matter what, do something.
If you owe more than your property is worth and are not taking action, it could be a mistake you will later regret. It is recommended to seek advice before you continue to pay month after month without considering and weighing your options.
Currently there are short sale programs with incentives from lenders that provide cash “moving expenses.” Meanwhile, lending guidelines are changing so fast that even if you sell your property right now in a short sale you may qualify to buy a new home again very soon. If you know you want to short sell and buy again, there is more urgency. For those who want to stay in their homes and are not completely “upside down,” you have refinancing opportunities that are incredible.
Some people have issues that go well beyond property ownership. If you have financial problems which are more serious than one or more properties, you may want to consult an attorney for other options, including different types of bankruptcy and ways to start over.
In spite of the stigmas that may exist, I personally believe we all deserve a second chance, and that forgiveness of others is as important as giving yourself permission to accept help and a fresh start.
Rick Gibson is a Realtor and Team Leader with Re/Max Preferred. A Certified Distressed Property Expert (CDPE) and Investment Agent Specialist (CIAS), he is Principal of Gibson Group Property Management, LLC.
