Phoenix Fannie Mae Short Sales and Foreclosures – Are they over priced?

View of Crystal Point from BalconyAre Fannie Mae Short Sales and Foreclosures A Bargain?

When you see a short sale or foreclosure, do you think a bargain is coming  your way?   My advice: slow down and see who owns the note on the property.  If the foreclosure is a Fannie Mae owned property, be patient.  If it is a short sale and Fannie Mae holds the lien, you should seriously question submitting an offer.  You could wait months and then be asked to pay market value or higher. Don’t expect logic or common sense to found anywhere in the transaction.

 

The Oasis at Anozira lake community in TempeFannie Mae REO’s – Foreclosures – Not a bargain at first

Foreclosure properties have become synonomous with value if the buyer is willing to overlook certain deficiencies.  There are no disclosures, the property has been vacant, neglected and possibly mistreated by the previous owner.  Many buyers are willing to accept these risks if the price is right.  In the current market,  Fannie Mae foreclosures are initially listed over market value.  The prudent buyer will recognize this and wait.  Don’t assume that it is priced below market

An analysis of Fannie Mae foreclosures or REO properties that closed in January 2013 for Mesa, Gilbert, Chandler and Tempe revealed that Fannie Mae foreclosures were  initally priced 20% over the eventual sales price.   It appears that their strategy changed from the previous year.  In January 2012,  Fannie Mae properties were listed 10% over the eventual sales price.

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There can only be two reasons for this direction. With low inventory, FHMA is hoping that a buyer with financing will offer the higher price and use Homepath financing which does not require an appraisal.  A cash offer would have the same benefit, no appraisal.  The other strategy is to steadily reduce the inflated list price until buyers find it attractive, thus convincing Fannie  Mae that they received the highest possible price and compensates for increased carrying costs such as taxes, HOA dues, utilities and maintenance.

The best advice to buyers is to understand the market and don’t assume that a Fannie Mae foreclosure means bargain pricing.

Fannie Mae Short Sales – A disaster in process!

Santan House with neg edge poolShort sales are synonomous with headache, and now Fannie Mae is trying to take it to the migrane level!   I’ve had two Fannie Mae short sales that based on updated BPO’s the servicer countered at prices at or above market value.   Other short sale agents have complained about the same challenge.  In one instance the counter offer price from Fannie Mae was more than the price for the same floor plan for a new build, 5 years newer, in the same subdivision.   The best advice is when you’re making an offer on a Fannie Mae short sale, be ready to pay market value or above,  and expect no discount for being a short sale with the related uncertainty.

It would be very beneficial when considering a foreclosure or short sale to research which investor holds the note.  If it is a foreclosure, Fannie Mae will eventually lower the price, but with a JFannie Mae short sale it may be better to move on.

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2 beds, 1 bath
Home size: 1,019 sq ft
Lot Size: 6,099 sq ft
Added: 06/19/21, Last Updated: 06/19/21
Property Type: Single Family
MLS Number: 6253416
Community: LOS AMIGOS
Tract: LOS AMIGOS
Status: Active




Listed with Century 21 Arizona Foothills


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$255,000 :: 137 W BARRUS Place, Casa Grande AZ, 85122

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3 beds, 1.75 baths
Home size: 1,160 sq ft
Lot Size: 6,970 sq ft
Added: 05/31/21, Last Updated: 06/18/21
Property Type: Single Family
MLS Number: 6243844
Community: CASPITA Y GRANDE UNIT II
Tract: CASPITA Y GRANDE UNIT II
The price of this listing was last reduced on 6/18/2021 by 2%
Status: Active


Come and see this spacious, Move-In-Ready Gem. NO HOA! The main house is a 3/2 and it also has an Attached Studio that counts with 1/1 and kitchenette. The studio has its own entrance and easy access from the side of the house. Perfect for Airbnb or Long-Term Rental. INSTANT INCOME GENERATOR!! THE Large back yard is perfect to Entertain and it offers a Large Workshop. Located close to Restaurants and Shopping. This property has recently been updated and it's ready for you to make it Yours!!

Listed with eXp Realty


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$349,900 :: 11929 W MADISON Street, Avondale AZ, 85323

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3 beds, 2 baths
Home size: 1,524 sq ft
Lot Size: 6,099 sq ft
Added: 06/17/21, Last Updated: 06/17/21
Property Type: Single Family
MLS Number: 6252338
Community: COLDWATER SPRINGS PARCEL 17
Tract: COLDWATER SPRINGS PARCEL 17
Status: Active


Don't miss this single level home in Coldwater Springs! This 3 bedroom 2 bathroom home has been refreshed with new interior paint. Front and backyard are desert/ rock landscape. This home features a great room, master bathroom has a large shower and double sinks, separate toilet. The kitchen has an island, pantry and ample cabinet space. Move in ready! Easy care landscaping front and back. Come See!

Listed with Realty ONE Group


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$450,000 :: 6206 N 30TH Place, Phoenix AZ, 85016

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2 beds, 2 baths
Home size: 1,470 sq ft
Lot Size: 872 sq ft
Added: 06/17/21, Last Updated: 06/17/21
Property Type: Condo/Townhouse/Co-Op
MLS Number: 6251402
Community: BILTMORE COURTS
Tract: BILTMORE COURTS
Status: Active


72 Hour Home Sale! Beautiful move-in ready townhome in the heart of the Biltmore! Travertine flooring throughout. Eat-in Kitchen has SS appliances, granite countertops and a quaint patio for you to enjoy your morning beverage! Living area features fireplace and it leads to another patio area. Master suite has balcony with outstanding views of Piestawa Peak. Great size secondary bedroom. Washer/Dryer conveniently located upstairs. This unit has a separate exterior storage unit and a one-car garage that also has room for additional storage. A rare find for a townhome! Super close to pool and tennis courts and overflow parking. Walk to shopping and restaurants. Just a perfect location!

Listed with Hague Partners


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$1,375,000 :: 19051 S 196TH Place, Queen Creek AZ, 85142

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4 beds, 3.5 baths
Home size: 3,976 sq ft
Lot Size: 18,731 sq ft
Added: 05/28/21, Last Updated: 06/07/21
Property Type: Single Family
MLS Number: 6241809
Community: LA JARA FARMS 2
Tract: LA JARA FARMS 2
The price of this listing was last reduced on 6/7/2021 by 2%
Status: Active


Some interior highlights include an open floor plan with Plantation shutters, office/den, a walk-in pantry.

Listed with Big Door Realty, LLC


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


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6 beds, 4 baths
Home size: 4,584 sq ft
Lot Size: 10,455 sq ft
Added: 04/30/21, Last Updated: 06/01/21
Property Type: Single Family
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Lender owned. Sold 'As-Is'. Unfinished home. Seller has no knowledge and makes no representation as to the status of permits, condition of property, violations or feasibility of the property. Buyer to conduct their own investigations as to the status of, but not limited to, facts, figures, permits, plans, building codes, violations, condition and feasibility of property.

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Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


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3 beds, 2 baths
Home size: 2,160 sq ft
Lot Size: 44,432 sq ft
Added: 07/31/20, Last Updated: 04/29/21
Property Type: Mobile/Manufactured
MLS Number: 6110792
Community: LA SALLE HEIGHTS
Tract: LA SALLE HEIGHTS
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Listed with Legendary Properties, LLC


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


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2 beds, 1 bath
Home size: 576 sq ft
Lot Size: 98,882 sq ft
Added: 04/25/21, Last Updated: 04/26/21
Property Type: Single Family
MLS Number: 6226758
Community: SW SW SW NW SEC 28 6S 3E 2.5AC
Tract: SW SW SW NW SEC 28 6S 3E 2.5AC
The price of this listing was last increased on 4/26/2021 by 0%
Status: Active


Great big piece of Maricopa. This is the property that you need to have. Full of life at the end of John Wayne Parkway. Convenient to Stanfield, CG or anywhere on I-8.

Listed with Legendary Properties, LLC


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


 

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