It’s been a crazy week for sure–three new Foreclosure listings, three sets of tenants to give the bad news too. Arrrgh! I feel so bad for them! I’m looking forward to a quick road trip for some horse show fun in Woodside, CA.
Have a few closing next week, that’s good! No matter how good the Sacramento Real Estate market is–and it’s hot hot!–once you’re in contract as a Home Seller or Home Buyer, the work is just beginning.
Take Carl for instance. Carl is finally signing his closing papers this afternoon after being in escrow for 75 days!! Originally, the contract was written for 30 days, using a VA loan. The appraiser is given 10 business days (that’s BUSINESS, not CALENDER days! That equals TWO WEEKS!) to complete the appraisal. The appraisal was done poorly, so I fought the appraisal and demanded a review. Guess what?
Another 10 business days, but the appraiser took 12. Without the appraisal coming in at contract price, Carl’s lender would not have ok’d the loan, so it was worth the fight–and I won! It was a long and tedious escrow however, both Carl and the seller had to wait. And wait, and wait.
Or for another example, the sale on Atlanta in Foothill Farms. The lender sent a long list of “honey do” items before they will ok the loan. The seller has to fix all of these items, even though they are trying to sell “as-is”. Selling a home “as-is” usually means the seller will not make repairs found in the Home Inspection. The home buyer buys the home “as-is” or they don’t buy it. That’s different when the lender calls out problems:
1. Fix sediment trap for Hot Water heater, 2. Fix water heater flue, 3. Install protective screen in front of fireplace, 4. Paint wood steps outside of Master bedroom to backyard, 5. Install handrail for steps, 6. Caulk tile correctly in main bathroom, etc, etc., the list was 12 items long!
This lender reviewed both the appraiser’s notes, and the home inspection report. So, it’s buyer and seller beware! Prepare for a longer escrow, with some hoops to jump through to get to the Close of Escrow. If you’re doing a short sale, these hoops may make you throw up your arms and say “whatever!”, but try not to–the buyer has been waiting a long time and I’ve worked really hard on your short sale, not to mention that pesky “foreclosure” on your credit report! Don’t give it up now!
Summer weather ahead, enjoy your days in fabulous Sacramento!! Thanks for reading.