Frazzled Buyers, Forbearance and Foreclosures!

COLORADO HOUSING MARKET FACING EXTREMES

01-2021 |

"There is simply not enough inventory"

Colorado Real Estate: Low Inventory and High Demand

If you are a Buyer in this market I don't have to tell how enormous the challenges are to get an offer accepted on a home. Most listings are selling for thousands over the asking price and Buyers are often being asked to pay cash over the appraised value. Many buyers are asking why? Two reasons:

For the first time in recent memory, our for-sale housing supply has fallen below a single month’s worth. That's not to say that the number of homes sold in 2020 decreased - as a matter of fact more homes sold in 2020 than 2019 - the supply of homes was just eaten up faster.

In short - there is simply not enough inventory, causing enormous competitive challenges for Buyers and home values and prices to increase as we head into Spring 2021.

Couple our low inventory with an increasing Denver Metro population. Recently in US News and World Report, Colorado boasted 4 out of the top five cities that were the best place to live in the US. In May of 2020, Forbes predicted that Denver would be among the top ten cities in the U.S. that would be best positioned to recover from the effects of the COVID-19 pandemic and is “well-positioned to retake its crown as one of the fastest-rising metro areas in the U.S.”

For Purchasers who thought that they would "wait out the market" until our housing market stabilized to a more Buyer friendly advantage - that day is not on the horizon in the foreseeable future.

Last month, the average sold price of a single-family detached home was $615,766 — nearly $83,000 more than a house sold just one year before in 2019!

FORBEARANCE AND FORECLOSURES?

DON'T LOSE YOUR HOME! WHAT TO DO NOW!

The COVID-19 pandemic has turned the world and the real estate industry on its head. Many Americans have been laid off, furloughed, or otherwise aren’t making the same income they did before the pandemic started. Unfortunately, this means many homeowners are struggling with their mortgage payments and it’s difficult to see a way out.

Millions of people opted for a forbearance agreement from their lender. Unfortunately, Forbearance is only an agreement between borrower and lender to put mortgage payments on hold or for the borrower to pay lower rates for a period. Forbearance is not forgiveness and delayed or lower payments will need to be paid back

Many homeowners are now in a position of facing a large lump sum of back payments now due or are being offered a re-payment of the past due amount split over a short period of time. A position some cannot afford, leading to a threat of foreclosure at worst or a Foreclosure moratorium at best, which is when the lender takes back the property after the homeowner fails to make required payments on a mortgage.

SEE BELOW!

WHAT CAN YOU DO IF YOU ARE FACING FORECLOSURE?

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DON'T GO INTO FORECLOSURE!!

CASH IN ON YOUR EQUITY AND SELL ( wonder what you will be able to replace your home with? Keep reading)

In this current Seller's market - chances are you have a lot of equity sitting in your home! Village Brokers can assist to halt a foreclosure action, add your past-due principal payments to your payoff and sell your home giving you the remainder of your equity after closing costs! Some homeowners think being in foreclosure means you can't sell and cash in on your equity. This is not the case!

SELL YOUR HOME ON A SHORT SALE

A SHORT SALE can also be useful during financial crises. If you don't have enough equity in your home, Village Brokers can try to negotiate a short sale, which is an agreement between the homeowner and the lender to sell the home for less than the amount remaining on the mortgage. Short sales are homes that are normally on their way to default or foreclosure. A short sale lets both the homeowner and the lender escape from the mortgage without losing excessive resources or money to foreclosure. You do not pay for closing costs in a short sale after an agreement has been made.

You can find additional information on the CARES Act and its protection for homeowners during the pandemic at ConsumerFinance.Gov.

Village Brokers knows how difficult times have been and what you can do to stay above water. Village can work directly with you and your lender to explain your options, detail differences resulting from the CARES Act, and take care of your situation with as little stress on you as possible. WE can also act as your agent on any short sale or other unique types of transaction.

DON'T WAIT! We’ll Get Through This

The coronavirus pandemic has shuttered businesses and shattered lives but with the help of the CARES Act, a phone call to your lender, and the help of a qualified real estate team you can get through the worst of it. Don’t wait another day while your mortgage heads toward default, pick up the phone or email to tell us you need help today.

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IM GETTING OUT OF TOWN!

I want to sell.......................... but where would I go?

One positive ( If there could be a positive) side effect of Covid 19 is that many of us and our employers have discovered that we can work from home! Some of us work for companies that allow transfers to other cities and states that offer more affordable housing than Denver Metro! There has never been a better time to CASH in on your equity while the market is HOT for sellers and then to replace your home with something more affordable in another location!

Look at the average median home price for the following cities compared to here ( click the city to get more information):

Colorado Springs, CO: $350k

Oklahoma City, OK $225k

Cheyenne, WY $295k

Kansas City, KS $160k

San Antonio, TX $240k

Moving out of town?? Village Brokers can help! We can pre-screen an agent to assist you in other areas and coordinate the sale of your home with the purchase and relocation to your new home!

Email HERE

Subject: "I WANT TO GET OUT OF TOWN I want move>>>!"(select your city)

Why use Village Brokers for your real estate needs?

Not only are we compassionate, communicative, problem-solving, and knowledgeable -

We have over 30 years of experience serving all of Denver Metro! Call or email us to assist you with:

Listing

Buying

Commercial real estate

Multi-family

Commercial leasing

Selling through a Divorce

Selling real estate with an estate

Relocation in or out of Colorado

and more!!

Nothing is too complicated!

Everyone is a priority!

REFERRAL REWARDS!!

Refer a friend and receive a $25.00 gift card
List or buy using Village Brokers and receive a moving credit or home warranty for free!

Mailed upon receipt of a loan application or scheduling a listing appointment
Credit for moving up to $500.00

HOW MUCH HOME CAN YOU AFFORD?

Contact Sean Young at New American Funding today to see what you can afford! The loan application is free! at MyLenderSean.com