Congressman Okay with "Short Sales"
Posted by Adam Robinson on Monday, July 25th, 2011 at 5:45pm.
A commercial office building located at 130 N. Tamiami Tr. was the subject of a settled eviction suit in the Sarasota Herald Tribune last week. The article said that Congressman Buchanan was the general partner for the LLC that owned the building. This weekend while I was working on a new commercial foreclosure web page I noticed this property is listed as a "short sale". In fact the tax records show Congressman Buchanan's signature on the mortgage recorded Feb. 13, 2003.
This property was listed as a "short sale" with James Buchanan Realty for $2,290,000 on May 11, 2011. (MLS # A3943229) The public remarks of the listing in the MLS begin with "Short Sale" and the listing has standard "short sale" disclaimers stating "Listing price may not be sufficient to pay the total of all liens and costs of sale, and Sale of Property at full listing price may require approval of seller's lender(s)."
A "short sale" is a situation where a property's value has dropped below the amount owed on the property (plus liens and cost of sale). A "short sale" is an alternative to foreclosure or loan modification. It often saves the lender significant time and costs of a foreclosure and allows the owner to avoid the more serious credit implications of a foreclosure. Often the lender will agree to waive a deficiency judgement against the seller in a short sale, while agreeing to pay or settle all other liens associated with the property.
If you owe more on a property than its market value, a short sale is possible even if you have other assets. (I have read that Congressman Buchanan is one of the wealthiest members of congress.) A short sale is also possible if payments are current, or if the property is currently rented.
If your property is currently worth less than the amount you owe on it, feel free to contact us for more information on how to complete a successful short sale of your property.
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