Bank of America is testing Florida’s foreclosure waters with an incentive program for defaulting homeowners to “short sell” their homes instead of enduring a foreclosure, which can take years. Almost unheard of five years ago, a short sale must be approved by the lender because the sale amount winds up being less than the mortgage owed on the house. Foreclosures have come to cost lenders so much in terms of sunken prices, deteriorated properties and legal fees that Bank of America announced last week that it would give $5,000 to $20,000 to qualified borrowers who submit a short-sale request to the lender by Nov. 30. A seller would be paid if the house is sold by Aug. 31, 2012. Guidelines for Bank of America’s new Florida Enhanced Short Sale Relocation Assistance program state that a borrower may use the incentive to pay off existing liens or for relocation expenses. FHA, Ginnie Mae, VA and USDA loans are not eligible.
Bank Of America Short Sale process is not as painful as it used be and even the big banks like Bank Of America realize its time to step up to the plate and sell homes that qualify through short sale instead of losing more money by leaving the properties sitting empty all while paying hefty legal fees for a year or more.
If you own a home here in South Florida and you have a loan through Bank Of America and you would like to take advantage of this offer while it last please call me as soon as possible since the deadline to have a contract in place is less than 6 weeks away.