Another Wells Fargo Short Sale completed in Jacksonville!
Condos have seen the worst of the loss in value. That's my opinion, and not statistically researched yet. I rarely am involved in a short sale of a condo that has anything more than 50% current market value vs. amount mortgaged. This particular condo short sale was no different.
The condo market is HOT! I can't seem to list a condo anywhere near the beach or the Gate Parkway area without it selling in under 30 days. The investors are buying them up as fast as they can see them, and I've even had several offers "sight unseen".
Most investor condo buyers are all cash. That being said, most of the condo communities are now "cash only" purchases as the conventional and government backed financing options are not available in these communities due to 2 major roadblocks: #1 the high percentage of investor owned units, and #2 the high percentage of delinquent Condo Association Fees. Those 2 items have helped to drive down the price.
This particular short sale with Wells Fargo was fairly smooth. The seller, like so many others, attempted a loan modification for what seems like over a year. They had no success and were so frustrated with the entire process. (in my opinion, loan mod is a horrible idea for almost everyone as you are just lowering an interest rate on a extremely over mortgaged property). The seller finally gave up on the process and turned to short selling.
Deficiency balance was waived by Wells Fargo, and the seller was able to close this chapter and move on. A very happy Seller!
The investor got a screaming deal on a Jacksonville condo close to the beach and had it rented the second we closed. Instant cash flow!
Posted by Brad Officer on
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