Troubled San Mateo Home Owners Get Welcome News!
Changes announced this week (December 2, 2009) by the U.S. Treasury Department impose new guidelines designed to make processing some San Mateo short sale transactions go more smoothly.
New Guidelines for Processing San Mateo Short Sales
The new guidelines state:
- The property must be the home owner’s principal residence.
- The home owner must be delinquent on the mortgage or close to defaulting.
- The loan must have been made before Jan. 1, 2009, and be for less than $729,750.
- The borrowers’ total monthly mortgage payment must exceed 31 percent of their before-tax income.
Sellers Can Now Receive Money from the Government when Selling their San Mateo Home
Under the government’s new plan, borrowers will receive $1,500 from the government for selling their San Mateo homes for less than the amount of their mortgages. Mortgage servicing companies will get $1,000 for each completed short sale. Second-mortgage lien holders can receive up to $3,000 of the sales proceeds in exchange for releasing their liens. Investors who hold the first mortgage can collect up to $1,000 from the government for allowing these payments. Under previous programs the seller (borrower) was prohibited from receiving any money at close of escrow.
Best News for San Mateo Home Owners – Sellers Must be Fully Released from Future Liability
Now the best part…Borrowers who complete a San Mateo short sale under the program must be “fully released” from future liability for the debt, according to the guidelines. That’s welcome news coming at a time when many junior lien holders were pursuing homeowners for the unpaid balance of their loans long after the San Mateo short sale was completed. San Mateo home owners can now get closure on one of life’s unpleasant events.
Need to Sell a San Mateo Home You Can’t Afford?
We recently did a webinar for San Mateo home owners who can no longer afford their homes. View the slides here.
Interest in Attending our Webinars and Classes?
If you’d like to attend an upcoming webinar, visit our Class Schedule page for a schedule of our upcoming programs.
You can also call us at (650) 655-2500 or email us at info@LivingWellinSanMateo.com to schedule a free, no obligation consultation to learn how we may be able to help you get an approved short sale for your San Mateo home.
How’s the Market in Your Neighborhood?
Click on the “Your Home’s Value” button below to get a neighborhood market report with just your email, some basic details about your home. View a sample market report here.
Call us to Schedule a Free, No Obligation Consultation
Call us to schedule a no obligation consultation at (650) 655-2500 or email us at info@LivingWellinSanMateo.com. We understand just how uncertain and frustrating owning a San Mateo home you can’t afford can be and we’ll help you put it behind you and move on with your life. In the meantime, you can check out our Seller Representation Page to learn about our Stress Free Home Listing Marketing Program that is proven to sell your San Mateo home fast.
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Raymond Stoklosa, Chela Stoklosa and Rebecca Williamson are Realtors with The RayChel Realty Group specializing in Santa Clara and San Mateo Real Estate.