1. Consider loan modification first. If you are thinking of selling your Gainesville home because of financial difficulties and you anticipate a short sale, first contact your lender to see if it has any programs to help you stay in your home. Your lender may agree to a modification such as: 

• Refinancing your loan at a lower interest rate
• Providing a different payment plan to help you get caught up
• Providing a forbearance period if your situation is temporary 

When a loan modification still isn’t enough to relieve your financial problems, a short sale could be your best option if 

• Your property is worth less than the total mortgage you owe on it.
• You have a financial hardship, such as a job loss or major medical bills.
• You have contacted your lender and it is willing to entertain a short sale. 

2. Hire a qualified team. The first step to a short sale is to hire a qualified real estate professional* and a real estate attorney who specialize in short sales. Interview at least three candidates for each and look for prior short-sale experience. Short sales have proliferated only in the last few years, so it may be hard to find practitioners who have closed a lot of short sales. You want to work with those who demonstrate a thorough working knowledge of the short-sale process and who won’t try to take advantage of your situation or pressure you to do something that isn’t in your best interest. 

A qualified Gainesville real estate professional can: 

• Provide you with a comparative market analysis (CMA) or broker price opinion (BPO).
• Help you set an appropriate listing price for your home, market the home, and get it sold.
• Put special language in the MLS that indicates your home is a short sale and that lender approval is needed (all MLSs permit, and some now require, that the short-sale status be disclosed to potential buyers).
• Ease the process of working with your lender or lenders.
• Negotiate the contract with the buyers.
• Help you put together the short-sale package to send to your lender (or lenders, if you have more than one mortgage) for approval. You can’t sell your home without your lender and any other lien holders agreeing to the sale and releasing the lien so that the buyers can get clear title.  

3. Begin gathering documentation before any offers come in. Your lender will give you a list of documents it requires to consider a short sale. The short-sale “package” that accompanies any offer typically must include 

• A hardship letter detailing your financial situation and why you need the short sale
• A copy of the purchase contract and listing agreement
• Proof of your income and assets
• Copies of your federal income tax returns for the past two years 

4. Prepare buyers for a lengthy waiting period. Even if you’re well organized and have all the documents in place, be prepared for a long process. Waiting for your lender’s review of the short-sale package can take several weeks to months. Some experts say: 

• If you have only one mortgage, the review can take about two months.
• With a first and second mortgage with the same lender, the review can take about three months.
• With two or more mortgages with different lenders, it can take four months or longer.  

When the bank does respond, it can approve the short sale, make a counteroffer, or deny the short sale. The last two actions can lengthen the process or put you back at square one. (Your real estate attorney and real estate professional, with your authorization, can work your lender’s loss mitigation department on your behalf to prepare the proper documentation and speed the process along.) 

5. Don’t expect a short sale to solve your financial problems. Even if your lender does approve the short sale, it may not be the end of all your financial woes. Here are some things to keep in mind: 

• You may be asked by your lender to sign a promissory note agreeing to pay back the amount of your loan not paid off by the short sale. If your financial hardship is permanent and you can’t pay back the balance, talk with your real estate attorney about your options. 
• Any amount of your mortgage that is forgiven by your lender is typically considered income, and you may have to pay taxes on that amount. Under a temporary measure passed in 2007, the Mortgage Forgiveness Debt Relief Act and Debt Cancellation Act, homeowners can exclude debt forgiveness on their federal tax returns from income for loans discharged in calendar years 2007 through 2012. Be sure to consult your real estate attorney and your accountant to see whether you qualify. 
• Having a portion of your debt forgiven may have an adverse effect on your credit score. However, a short sale will impact your credit score less than foreclosure and bankruptcy.

Reprinted from Realtor Magazine with permission from National Associaiton of Realtors. 

Gainesville Real Estate For Sale:

1029 SW 1st Avenue Unit #3, Gainesville FL 32601

MLS# 302313

Location, location, location  If you want the entire college experience, without paying the enormous new condo prices, this place is for you.  Walk to UF, and all the festivities, there is never a parking problems.  Wood floors throughout.  Don’t miss out on this great opportunity!  This is a great investment property, dues are low and its blocks from UF and rent of $925.00 per month.

Learn more about 1029 SW 1st Avenue Unit #3 and other Gainesville real estate by visiting GatorHomes.com or MyGatorCondo.com.

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Choosing a location

Do you want to be in the middle of all the activity, or enjoy the peace and quiet of a secluded location?  Is a condo at the mountain your cup of tea or a farmhouse tucked away in the woods? Whichever environment you prefer, here are some things you should consider:

• Popularity.  A house in a hot vacation market will usually cost more than a place off the beaten path.  At the same time, continued popularity may help you profit from appreciation.
• Proximity to your home.  If you plan to visit regularly, look for a place that’s easy to get to. 
• Rental possibilities.  If you’re hoping to offset some costs by renting the home for part of the year, find out about seasonal demand for rentals in the area.

Maintaining your getaway

Regular upkeep is more difficult with a vacation home than with your primary residence, but no less important.  The value of the home, both as an investment and as a place you enjoy visiting, depends on good maintenance. 

If your Gainesville home is not far from your vacation home, you may want to make weekly visits to mow the lawn, water the garden, clean the gutters or shovel snow.  If doing it yourself is impractical, consider hiring a vacation property management company to provide maintenance services during the times when you’re not using the home. 

Visit GatorHomes.com to learn more about buying a vacation home or give me a call for more personal service.

Gainesville Homes For Sale:

75 NW 48th Boulevard, Gainesville FL 32607

MLS# 304212

Low maintenance living tucked in behind Millpond close to Uf, Shands, Hospital and shopping. Gorgeous, airy home features private courtyard, gas fireplace, crown molding, screened porch, indirect lighting and many more luxurious amenities. Enjoy the pool, clubhouse and tennis courts while the lawn and exterior maintenance is taken care of for you by the Homeowners Assn.

Learn more about 75 NW 48th Boulevard and other Gainesville real estate by visiting GatorHomes.com and MyGatorCondo.com.

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Of course, there are exceptions. Well priced homes in desirable neighborhoods or foreclosed properties selling at ‘yard sale’ prices may generate multiple offers. But all in all, it is a buyer’s market.

So how do Gainesville home buyers prepare to make an offer and put themselves in the best negotiating position? Here are some suggestions made by Dian Hymer in a recent Inman news article:

1. Before you make an offer on a listing that’s priced over market, try to find out as much as possible about the sellers’ motivation, and if there’s any flexibility in their price. If the seller owes more than the house is currently worth, they may not have any negotiating room. They may want to sell the house, but really can’t sell at today’s prices.  A lot of time and emotional energy goes into making an offer. Save your efforts for listings where the sellers are motivated. That is, they don’t just want to sell — they need to sell.

Some sellers want to test the waters at a price that’s higher than the market will support. They usually feel that someone will appreciate the added value their home offers and pay more for it. However, these sellers will often negotiate with a legitimate buyer who offers a price that is less than the list price.

2. Make sure that your financing is in order and that you are able to show the seller that you are capable of closing the deal. The fallout ratio is high in the current market. Many of these transactions fail to close because the buyers couldn’t get financing.

It’s always a good idea to be preapproved for the financing you’ll need to buy a home before you make an offer. Preapproval involves making a formal loan application, having your credit checked, as well as verifying your funds for down payment and closing costs, and validating your income and employment. Lenders often want to know that you have enough surplus cash to make house payments (mortgage, property taxes and insurance) for two to three months.

3. Buyers who make an initial low offer and who aren’t in competition should make as clean an offer as possible. This means omitting anything that’s not necessary. However, you should include contingencies for loan and appraisal approval and an inspection contingency.

It’s a good idea to include a copy of your preapproval letter with your offer. If you are approved for a higher price than you are offering, ask your lender or mortgage broker to issue a preapproval letter for the price you’re offering.

4. Be prepared to negotiate. It may take several rounds of counter-offering back and forth to reach a mutually acceptable price.

Are you thinking about buying a Gainesville home? We are glad to help you with your preapproval process, show you homes with motivated sellers and craft an offer putting you in the best possible light with the seller and results in getting you the best possible deal.

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Gainesville Real Estate For Sale:

2961 NW 21st Avenue, Gainsville FL 32605

MLS# 304708

A hint of country in the heart of the city!  Great location near UF, shopping and dining with no commute time!  Super entertainment home features a large deck overlooking a creek.  Watch the wild turkeys, owls and other wildlife from the screened porch.  Which comes with a refrigerator, sink and serving area or the solar heated salt pool surrounded by a decorative aluminum fence?  Home has been completely remodeled with hardwood floors throughout.  Custom built-ins in great room with fireplace and built-in surround sound speakers.  Gourmet kitchen boasts double convection ovens, smooth top range and pass thru to sunroom.  Large bedrooms feature floor to ceiling windows and master has a luxury bath.  Fresh paint and much more, large conservation area in the rear makes this a slice of heaven.

Learn more about 2961 NW 21st Avenue and other Gainesville real estate by visiting GatorHomes.com and MyGatorCondo.com.

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1. Make it automatic. Before you see your paycheck, have a percentage of it automatically deposited into your 401(k) and savings.
2. Keep minimum funds in checking account. Transfer extra funds into your savings account where it will earn more interest than in our checking account.
3. Don’t pay banking fees! Use your bank’s free bill pay, automatic deposits, free checks, and free reimbursements for all ATM fees.
4. Use rewards credit cards. Use a credit card offering cash back on every purchase and pay the card off each month to eliminate interest fees.
5. Actively search out deals. It never hurts to try and find a better deal, or request a better deal from your service providers.
6. Use a programmable thermostat. Programmable thermostats save you an estimated 10-20% on your heating and cooling bills.
7. Use ceiling fans, floor fans, and space heaters. Turn your thermostat down, close the doors to unused rooms and use a space heater for heat. Use ceiling fans and floor fans to assist with heating and cooling - depending on the season of course!
8. Install CFLs to save energy. Compact fluorescent lights use about a quarter of the electricity of normal incandescent bulbs. They also need replaced much less often.
9. Drive smoothly. Accelerate smoothly and at a reasonable rate, and coast to a stop as often as possible. Also use cruise control on the highway. My car is rated to get 26 mpg around town and I regularly get 29. You can also use these tips to save money on gas, and use gas rewards credit cards to save money on fuel costs.
10. Plan and research major purchases. Take the time to research the best deals when planning a vacation.
11. Buy quality products. Quality items may cost more up front, but they last longer and generally provide better results than cheaper, inferior products. Examples of items you should buy higher quality - furniture, clothes and shoes, vehicles, and other items that will see a lot of use.
12. Buy generic where applicable. You can save a lot of money on generic items for which the brand name product is essentially the same as the store brand. Food and medicines come to mind as items where generic products are good deals.
13. Use coupons and rebates. Use coupons for oil changes, groceries, books, on-line purchases, and just about anything else we can find.
14. Use store rewards cards. Many grocery stores have their own ‘reward cards’ saving you money each time your shop. If you are a senior, shop on designated senior citizen discount days.
15. Cook at home.  Limit restaurant dining to once a month.
16. Eat leftovers. You can save a minimum of $20 a week by bringing your lunch to work. It is also healthier. On the rare occasion you go out to lunch with coworkers, you’ll enjoy it more.
17. Use the library. Borrow books and movies from the library. New movie releases aren’t always available, but there are usually plenty of classics from the 40s and 50s.
18. Use parks. They are great for hiking and outdoor recreation.
19. Take care of things. Treat the tings you own with respect and take good care of them. This includes doing things such as cleaning the house, washing your cars, and polishing shoes. Things last much longer when you take good care of them.
20. Buy insurance. Health insurance, home owner’s insurance, auto insurance, and other types of insurance are designed to save you money! Sure, you may end up paying premiums for years and never file a claim, but in the event you need to file a claim, your premium will likely be small compared to what you would have had to pay. You’ll be very happy if you ever need it!
21. Bundle cable and internet. You can save a lot of money by bundling these together rather than purchasing the separately. You can save more if you bundle your phone as well.
22. Use cell phones - skip the landline. Depending on your plan, it can be a real cost saving.
23. Cancel subscriptions. Almost everything you want can be found on-line for free.
24. Home improvement. Try making your own repairs before calling a professional.
25. Avoid debt. If you don’t have the money for it, don’t buy it.

Saving money and watching your savings account grow is a rewarding experience…especially if it can help you purchase a Gainesville home of your own. If you are a first-time home buyer, your $8,000 tax credit can now be used towards your down payment and closing costs. Learn how at GatorHomes.com or give me a call for more personal service.

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Gainesville Home for Sale:

2636 SW 35th Place, Gainsville FL 32608
MLS# 303443

Gorgeous end unit with 2 bedrooms upstairs each has its own private bath.  Features include smooth top range, side by side refrigerator with ice in the door, washer, dryer, hardwood floors, tile floors in the kitchen, and screen porch The bus stop is right outside your door and you can bike to UF and shopping.  FHA approved means low down payment! Pets welcome.  Home was very well cared for it’s in move in condition.

Learn more about 2636 SW 35th Place and other Gainesville Homes for Sale by visiting GatorHomes.com and MyGatorCondo.com.

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1. Freedom to pursue other goals in life once the major goal of home ownership is achieved.

Strange as it sounds, many of our first-time buyers have told us that once they bought the house, other things in their life started to fall into place. It’s as if not owning took so much of their mental energy that other goals were not worked on until that big goal was reached. So buy a home and get on with your life!
2. A greater sense of belonging to the community.

Once you own a home, you feel more attached to the city in which you live. You’re more interested in what happens in Gainesville, to the roads, schools, and shopping areas. Some people even become involved in local politics.

3. A commitment to something, a sense of stability.

Home ownership is an anchor, something that cannot be pulled out from under you. You’ll never get a notice that you have to move. You’re kids will never have to change schools. It gives you freedom to plan years ahead.

4. You can change things, a feeling of being in control.

It’s your home. You can add to it, remodel it, change the landscaping, do whatever projects you want. You have a feeling of being in control of something in your life. At work we don’t always have control of what happens, but your home is your castle and you have dominion over it. You can see what you’re building take shape before your eyes.

5. More control over the children than in an apartment complex

In a neighborhood, kids usually play in the yards or go to friend’s houses a few doors away. Our clients have told us that in an apartment complex they never knew where the kids were. They could be in any of hundreds of apartments, doing who knows what. In a home you get to know the neighbors and watch out for each other’s kids.

6. Children do better in school and feel more secure.

This one surprised us, but buyers have reported to us that their kids calmed down in school after they bought a house. We don’t know why, but it seems to work that way. We remember a single mom watching her son play in the yard, making steps in the slope and building things. She didn’t have to tell him to leave everything alone, like she did at the apartment complex. I guess kids feel the same need for control we adults do.

7. Time and money saved by not going to the Laundromat.

A small point, but if you have kids, you know the value of this one. You gain a whole evening a week when you buy a house! The wash gets done in between other things, or while you’re at work. What would you do with the extra evening you’ll have? How about going out for dessert with your spouse with all those quarters?

We’ve been in a home of our own for so long; we take these benefits for granted. We forgot what it’s like to be renters! If you have anything you can add to the list, please let us know via email. We would love to hear from you! 

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Gainesville Real Estate for Sale: 1201 NW 4th Street, Gainsville FL 32601

MLS# 282478

This Condo is in an ideal location in a quiet residential neighborhood and is perfect for the serious student. Exterior has been completely repainted and roof is new as of April 2007. UF And Downtown Gainesville is only 5 minutes away. The bus stop is a short 5 minute walk. The electric water heater is new and the dryer is new. Walking distance to Publix, the Post Office, Restaurants and The Tutoring Zone. Only a two unit Condo, never a parking problem. Alarm System. Attached Storage Shed.

Learn more about 1201 NW 4st Street and other Gainesville real estate for sale by visiting GatorHomes.com and MyGatorCondo.com.

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