Kat Geralis Home Team Wilmington DE Real Estate News Archives

Let’s face it. The economy still isn’t in the best shape and many homeowners in Wilmington, DE are without a job. When it has become impossible to stay on top of your mortgage payments, the possibility of foreclosure becomes a frightening reality. However, if you face the fact that foreclosure is looming and you are proactive, it can be avoided with a short sale.

While it’s certainly a favorable alternative to a foreclosure, a short sale is still emotionally and financially daunting. Though it’s not ideal compared to a traditional home sale, you’ll be able to bounce back more quickly than if your lender decides to proceed with a foreclosure.

If you’re unfamiliar, a short sale occurs when a homeowner sells his or her home for a lower price than the amount due on the mortgage. All of the earnings made on the sale of the home go directly to the lender and the remaining balance of the mortgage is forgiven. Not all lenders will accept a short sale, so the first thing you should do is consult with your bank to see if a short sale is a possibility.

In the event that you’ve decided to proceed with a short sale on your Wilmington, DE home, I’ve assembled a few tips to help you navigate the short sale process with as little stress as possible.

1. Talk to people

After you’ve determined your lender will cooperate with a short sale, the first thing you should do is talk to a CPA, a real estate attorney and a Wilmington, DE real estate agent. These three parties will be key allies throughout your short sale journey.

2. Find a local real estate agent

Ideally, this will be me! I’m well versed in the Wilmington, DE real estate market and have extensive experience helping distressed homeowners avoid foreclosure with short sales. My team and I are ready and willing to help.

3. Determine your home’s value and list it accordingly

Your lender is going to want to see your Wilmington, DE home listed as close to market value as possible. Work with an appraiser to determine the true value of your home and list it slightly above market value. The right price should attract homebuyers and satisfy your lender at the same time.

4. Gather your documents

Once you’ve received an offer on your Wilmington, DE home the battle isn’t quite over. You now need to submit a letter of hardship, tax returns, pay stubs and various other documents to your lender for review. Make sure you have included everything that is required so the bank has no excuse to delay the short sale process.

5. Negotiate

There will be a period of 30 – 45 days before you will hear anything from your lender regarding your short sale. If the homebuyer’s offer is within 5% of the price at which the home was appraised and all of your documents have been submitted, the short sale should be approved.

I hope these tips for listing your Wilmington, DE home as a short sale have been helpful. If you find yourself in a position where you fear your home might go into foreclosure, please contact me. My team and I will help you with your short sale every step of the way.

Katina Geralis
Wilmington, DE Real Estate Expert
Keller Williams Realty
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Let’s face it: times are difficult for many Wilmington, DE homeowners right now. There are millions of homes in foreclosure in the United States and the number is only continuing to grow. Unfortunately, foreclosure is a very real possibility for those who are unable to stay on top of their mortgage payments. However, if you recognize the seriousness of the situation early on, there are alternatives that are less damaging both emotionally and financially. When possible, a short sale is a much better alternative and I always make sure to discuss this with Wilmington, DE homeowners who come to me for advice.

While I do my absolute best to guide Wilmington, DE homeowners towards a short sale when they’re in distress, foreclosure does happen and the emotional and financial consequences extend beyond the foreclosure process itself.  As your Wilmington, DE real estate agent, I want to share some of the situations you can expect to encounter and provide solutions for dealing with them as responsibly as possible.

1. Finding a new home right away

Probably the most pressing and unsettling obstacle to deal with after foreclosure is where you’re going to live. The good news is even with a low credit score, renting is an option if you have the cash to put down a deposit. As soon as you think foreclosure is a possibility, make plans to either stay with a family member or friend, or look into the “cash for keys” program in which you receive a check for voluntarily vacating your home.

2. Buying another home in the future

If your Wilmington, DE home was foreclosed on, the minimum amount of time until you can obtain a new mortgage is five years. However, foreclosed owners do have the opportunity to prove that the foreclosure was out of their control due to job loss, and potentially get this time period reduced to three years. Your best option for the shortest amount of time between mortgages is to go with a federally insured FHA loan.

3. The emotional toll

While the above issues are logistical, it’s important to note that a period of emotional distress and grieving will occur and shouldn’t be discounted. It’s never emotionally easy to leave your Wilmington, DE home and neighborhood, let alone be in a situation where your financial record will take a hit, too. The silver lining is that because foreclosure is so common in today’s economy, potential employers and even your new neighbors will generally be sympathetic. There isn’t as much of a stigma as there used to be.

As your Wilmington, DE real estate agent, I will always provide you with alternatives to foreclosure. As a short sale expert, I take pride in helping Wilmington, DE homeowners navigate the ins and outs of the short sale process, decreasing stress and saving them time and money. As long as you are proactive and seek the advice of a Wilmington, DE real estate expert at first signs of distress, foreclosure can be sidestepped. If you think you might be in danger of foreclosure, please contact me so we can discuss your options!

Katina Geralis
Wilmington, DE Real Estate Expert
Keller Williams Realty
Wilmington Real Estate
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The reality of the current Wilmington, DE real estate market is that homeowners are struggling to stay afloat. While the economy is getting better, many are still struggling with maintaining a steady income to pay their mortgage each month. As a real estate agent who specializes in Wilmington, DE short sales and foreclosures, it is my responsibility to be aware of this issue and use my knowledge of market conditions to help guide my clients through what can oftentimes be a very difficult, hurtful and stressful time. That’s why, when Wilmington, DE homeowners approach me and express that they are in danger of losing their house, I always take the time to sit down with them and review their options.

Since my primary goal is to help people who are in danger of going through a Wilmington, DE foreclosure know and understand all of their options, it’s important to me that I explain each alternative as thoroughly as possible. The better my clients understand what they can do to avoid foreclosure, the more likely it is that we can find the right alternative and come up with a plan to avoid conflict. One of the most popular alternatives to foreclosures is going through a short sale. A Wilmington, DE short sale occurs when a lender agrees to let a homeowner sell their property for less than what is owed on the home, forgiving all other amounts owed after the transaction is complete.

Short sales are far less damaging to one’s overall credit than foreclosures, which is why they are such an attractive option to many Wilmington, DE homeowners. The process, however, is a bit complex and can take a long time if you’re not diligent and persistent. In the interest of helping all of my clients who are in need of guidance, I thought that I’d outline the short sale process briefly. This will allow those who are in danger of losing their Wilmington, DE home get a better idea of one of the main alternatives to foreclosure.

•    Contact your Wilmington, DE real estate agent and lender to discuss policies, procedures and your options. Consulting with a professional before undergoing the process will help you decide if this is really the right route for you to be taking, which can help you avoid more conflict down the line.
•    Compose a letter to release documentation about the loan and the property. The escrow agency and the buyer will receive this information prior to making an offer.
•    The lender will examine the settlement statement. This document will include the selling price and what is left of the loan balance. Other fees, such as closing costs and commissions, will also be included in the statement.
•    Submit a hardship letter to your lender outlining your current financial problems. You will need to explain why it is that you can’t make mortgage payments. Think of this as a brief letter that you will need to use to build your case. You need to make the reader sympathize and understand why you have experienced hardship and realize that it is impossible for you to continue to stay in the home.
•    Include banking statements, investment portfolios, employment paystubs and other financial documents with your letter to prove that you can under no circumstances make your monthly mortgage payments.
•    The lender will consult with the Wilmington, DE real estate broker to evaluate the house’s structure and compare it with other homes in the area to determine its worth.
•    The lender will then examine the purchase agreement and review the commission amount to determine that the short sale transaction would be beneficial to all parties involved.

Broken down, Wilmington, DE short sales are processes that require patience and a lot of back-and-forth; however they also are a very viable option for many homeowners in today’s economic climate. As a Wilmington, DE real estate agent who specializes in short sales and foreclosures, I’d be remiss if I didn’t review each option and alternative with my clients in detail. It’s the only way to ensure that everyone understands their options and comes up with the best plan possible for their particular situation.

If you have any questions about the Wilmington, DE short sale process, don’t hesitate to contact me! I’d be happy to help in any way that I can. I hope to hear from you soon!

Katina Geralis
Wilmington, DE Real Estate Expert
Keller Williams Realty
Wilmington Real Estate
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I consider it a priority, as a Wilmington, DE real estate agent, to stay on top of emerging trends in the local real estate market. It’s important that I use the latest market news and statistics when communicating with my clients because it helps me better understand the individual needs of every Wilmington, DE real estate transaction. When I have a strong grasp of what is happening in both the local and national real estate market, I know what my clients’ needs are and can provide them the best service possible. In recent years, that meant that I had to help more people successfully complete their Wilmington, DE short sale transaction, and this is still the case in today’s market.

Each time a new year begins, I sit down and take the time to review what happened the year before and determine what that could mean for the year to come. As a Wilmington, DE real estate agent, it is how I know what areas of expertise I need to use to best service the needs of the people in my community. Over the past few weeks, I have taken the time to figure out that there are a few changes to come to the Wilmington, DE real estate market. With the intention of preparing you for what is to come, I thought that I’d share a few of the major upcoming trends:

•    Home buyers will make a comeback. Now that jobless claims are decreasing and the condition of the United States economy is slowly improving, more home buyers will be stepping up to the plate this year. Last year, Wilmington, DE real estate consumers lost confidence in the market, which caused sales to go down. Now, some of that confidence has returned, and more people will be willing to make the investment on a home. Once consumer sentiment starts to solidify, more buyers will realize that now really IS the time to buy.
•    Wilmington, DE foreclosures and short sales will likely increase. The robo-signing challenges of late 2010 caused a serious delay in the processing of several foreclosure properties, but now that the situation has been resolved, these proceedings will start back up again. This will cause the value of single-family homes to decrease and will put many homeowners underwater, which will create an increase in Wilmington, DE short sales. This sounds scary, but many lenders are already recognizing this situation and are easing the requirements needed for both refinancing and the short sale process.
•    Home values will continue to go down. With the increase in foreclosures and short sales that are about to enter the market, we will likely see the values of single family homes start to go down. This will be great news for buyers as they embark on their Wilmington, DE home search, however for sellers, this will continue to be a frustrating factor. Since the increase in foreclosures will eat up some of the buyer demand in the market and will impact appraisals, it is likely that more homes will be underwater this year.

Now that you know all about the upcoming trends in the Wilmington, DE real estate market, it’s important to be prepared. Stay smart with your finances and keep your credit scores as high as possible in order to avoid trouble with your mortgage payments. If you feel that you’re already underwater on your Wilmington, DE home, now is not the time to panic. Instead, you should contact your Wilmington, DE real estate agent and discuss your options. You may just qualify for a short sale.

Don’t hesitate to contact me with any of your questions or concerns! I’d be happy to help you out in any way that I possibly can. I will make your real estate needs my priority. I hope to hear from you soon!

Katina Geralis
Wilmington, DE Real Estate Expert
Keller Williams Realty
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As a real estate agent who specializes in Wilmington, DE foreclosures and short sales, I am sympathetic to the fact that going through the foreclosure process is soul-crushing and heartbreaking for even the strongest of individuals. Losing your home is humiliating, devastating and difficult to recover from. If there is one thing that you need to remember if you’re in danger of losing your Wilmington, DE home, it is this:  you are not alone. Several people are having problems keeping themselves above water in their mortgage payments. You also need to remember that it may not be too late to rectify the problem.

Part of my responsibility as a Wilmington, DE real estate agent is to take on the role as a counselor and guide. When I come across a client who is struggling to make ends meet at home, I take it upon myself to be both a sympathetic ear and a strong resource for information. If I can help any of my clients avoid a Wilmington, DE foreclosure, then I absolutely do everything I can to help. These five tips could help you avoid the landmine commonly known as “foreclosure” and get yourself back on track to being a happy homeowner.

1. Don’t deny. Face the problem head-on. If you’re one of those people who throw all foreboding, bad news-bearing mail in the trash, I have one word for you: stop. Denying your financial issues won’t get you anywhere in resolving them. If you address each piece of mail as it comes, then you can possibly find a solution early-on and avoid the initial stages of the foreclosure process.

2. Contact your lender early-on and explain your situation. This sounds frightening, and it may not get you anywhere, but I ask you this: is there any harm in trying? If you call your lender when you realize that there’s a problem and explain your struggle, there’s a chance that they’ll adjust your monthly payments to be more affordable or come up with a repayment plan for missed payments. There’s something to be said about people who take responsibility for their issues early-on, and that will receive a better response than acting as though the problem doesn’t exist.

3. Study up on your mortgage rights. If you find that you’re struggling to make payments, then dig up the pile of loan documents that you received when you first bought the home. They may contain information about what your lender can do for you, should you fall behind on payments. This is valuable information to have, so don’t neglect to be aware of it. It could help you avoid a messy situation.

4. Consider selling your Wilmington, DE home. I know that this sounds extreme, but think about it. Selling your home is much better, credit-wise, than having it taken away from you. You could also use the money from the sale to pay back mortgage debt and selling costs. If your home takes awhile to sell, then chances are your lender will stop all foreclosure proceedings once the house in on the market, relieving stress.

5. Explore a Wilmington, DE short sale as an option! Although it is still bad for your credit rating, going through a short sale is still a much better option than going through a foreclosure. The term “short sale” refers to the process that takes place when a lender is willing to let a homeowner sell their property for whatever they can get. After closing, the lender takes what money the home was able to sell for, and all other debt is forgiven. While there is still a bit of a financial recovery process after a short sale, it is less damaging than a foreclosure, and you will be able to move on with your life much faster.

As a Wilmington, DE real estate agent who specializes in short sales and foreclosures, I do everything I can to ensure that anyone who approaches me and expresses that they are having financial issues avoid the painful foreclosure process. The five tips listed above are only a few of many ways that you can sidestep foreclosure on your Wilmington, DE home. If you have any questions about how you can stay above water in your home, don’t hesitate to contact me! I’d love to help you in any way that I can. I hope to hear from you soon!

Katina Geralis
Wilmington, DE Real Estate Expert
Keller Williams Realty
Wilmington Real Estate
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Going through a bankruptcy, foreclosure or short sale is heartbreaking, and for many people in this economic climate, it is a reality. One of the biggest fears of Wilmington, DE homeowners who begin to go through financial hardship is that if they go through one of these three processes, then they won’t be able to ever own a home after the fact. This is not true. You can be a homeowner again. All it takes is two qualities: patience and hard work.

It’s not impossible to buy a home in Wilmington, DE after suffering from a financial hardship, but in order to do so, you will have to clean up your credit and wait for a certain amount of time after the foreclosure, short sale or bankruptcy. As a Wilmington, DE real estate agent who specializes in foreclosures and short sales, part of my responsibility is to reassure my clients that this isn’t the end: they CAN become a homeowner again. It is also my job, however, to let my clients know exactly what they need to do to accomplish this after suffering from a Wilmington, DE foreclosure or short sale. Here are just a few of the more important things they’ll have to keep in mind if homeownership is the goal:

You’re going to have to wait awhile. Those who have suffered a financial hardship in Wilmington, DE could wait anywhere from 1-7 years after the fact before getting a home loan. If you went through a bankruptcy and have a spotless subsequent credit history, then you may have to wait only one year. If you went through a Wilmington, DE short sale or foreclosure and are looking for a conventional loan from Fannie Mae or Freddie Mac, you will most likely have to wait 7 years. In between are 2, 3, and 4 year timelines that all depend on extenuating circumstances surrounding the foreclosure or short sale.

Make sure your credit stays clean. If you miss even one credit card payment after losing your home in a foreclosure or short sale, then you are pretty much ruining your chances of getting a loan in a shorter time span. Make every credit card payment on time and show signs of stable employment. The more spotless your credit is after financial hardship, the more willing banks will be to get you your loan in a shorter time frame.

Consult an expert. Shortly after going through your Wilmington, DE foreclosure or short sale, you need to make sure that you consult a mortgage or loan expert for advice. They can give you a realistic time frame for when you can expect to be a homeowner again, and they’ll also tell you what steps that you need to take before it’s possible to get a loan again. As a Wilmington, DE real estate agent, I know several people in the industry that can help counsel you on a strategy after your foreclosure or short sale.

None of these steps are easy to take, but they are necessary if you want to become a Wilmington, DE homeowner after losing your home in a short sale, foreclosure or bankruptcy. As a Wilmington, DE real estate agent, it is part of my job to help distressed homeowners in the area figure out the appropriate plan for their financial situation and get them on the right track. I also need to help advise them on what steps to take to mend the damage caused after a foreclosure or short sale.

 If you have any questions about Wilmington, DE short sales or foreclosures, don’t hesitate to contact me! I’m happy to lend a helping hand and listening ear for anything that you may need. I’d love to hear from you.

Katina Geralis
Wilmington, DE Real Estate Expert
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