Distressed Home Ownership?
Looking to purchase a home after a Foreclosure? Bankruptcy? Or Short Sale? Keep reading!
In April 2015, the National Association of Realtors "analyzed the nearly 9.3 million
homeowners that underwent a foreclosure, received a deed-in-lieu of foreclosure, or
short sold between 2006 and 2014 to estimate the amount of creditworthy borrowers
expected to re-enter the housing market as a return buyer in upcoming years." The
findings reveal nearly a million of these former owners have likely already purchased
a home again, and an additional 1.5 million are likely to become eligible and purchase
over the next five years, representing an additional source of buyer demand for the
housing market." Source: NAR Study
Have you heard the latest term Boomerang Buyer and wonder what it means?
A Boomerang Buyer is considered a home buyer who has gone through a foreclosure
(deeds-in-Lieu of Foreclosure) or short sale of their home during the recent housing
market crash or has had a bankruptcy in the past few years and is now looking to
purchase again. Many boomerang buyers have been repairing their credit and saving up
down payments, so that the dream of home ownership can become a reality again.
Statistically Speaking
Although Vegas seemed to be one of the hardest hit foreclosure markets in the country,
it is not one of the top 5 seeing a comeback from boomerang buyers. Back in July 2013,
Realtor Magazine reported Boomerang Buyers are "expected to flood markets in some of
the hardest hit areas for short sales and foreclosures in the coming years. For
example, boomerang buyers are predicted to account for nearly one in every five home
sales in the metro Phoenix area this year—double the projected U.S. rate." The article
went on to report the top markets with the highest rates of boomerang buyers
(according to research by John Burns Real Estate Consulting July 2013) The results
came in as follows, and unfortunately newer percentage statistics were not available
at the time of this report (September 2015).
- 4.10% Riverside-San Bernardino, California
- 3.70% Los Angeles, California
- 3.60% Phoenix, Arizona
- 2.50% Chicago, Illinois
- 2.40% Atlanta, Georgia
- 2.12% Las Vegas, Nevada
- 2.10% Washington, D.C.
April 2015 statistics show that there were 319,000 Total Foreclosed Sales, Deeds-in-
Lieu of Foreclosure, and Short Sales in the state of Nevada during the years 2006 to
2014.50,000 Boomerang buyers purchased again in 2006-2014 in Nevada. And an additional
60,000 boomerang buyers are expected to purchase again in 2014-2023 in our state. Source NAR Study
So I'm Called A Boomerang Buyer, Now What?
So how does one boomerang back into the market? It's a complicated answer depending on your situation, we can help you determine based on your unique situation and the below information may be helpful.
Purchase After Bankruptcy
After a
bankruptcy buyers will have to wait typically 2 years before they can purchase
again. However, some buyers can qualify to purchase in 1 year but could have to
wait up to 4 years depending on the loan type and bankruptcy differing between
chapter 7 and 13 discharges.
Purchase After Foreclosure
After a
foreclosure (or Deeds-in-Lieu of Foreclosure) a home buyer may be able to
purchase again as soon as 2 years from the completion date if under a VA Loan. The
most common seasoning periods are 3 years for FHA or 7 years for Conventional
Loans. Keep in mind it’s all dependent on the loan type and extenuating
circumstances of the foreclosure.
Purchase After Short Sale
After a
Short Sale there are no time restrictions for a buyer to wait on FHA and VA
loan types if the mortgage was current at the time of short sale. If the
mortgage was in default, the waiting period varies 2 years for VA and 3 years
for FHA; while Conventional loan types are dependent on a seasoning period of 4
years.
What next?
Understanding how Foreclosure, Bankruptcy or a history of Short Sale can affect your purchase-ability is very confusing. Fortunately for you, you have Dave and The
Radcliffe Group and his team of professionals that can help you understand your
situation and options. Dave has over 25 years experience selling Las Vegas area real
estate and has developed some of the best relationships with the most respected
professionals in the business. Gina Baker (featured in the video above) is a great resource.
Email –
Gina@alderus.net
Phone – 702-255-5783 ext. 106
Website –
www.Ginabakerteam.net
Give Dave a call and lets see how quickly you are able
to get back into home ownership. After-all, its about making a comeback. Boomerang
Buyers are Welcome Here!Thinking About Selling? Demand for Homes is High!
What does this mean for homeowners looking to sell their Las Vegas, Summerlin, or
Centennial Hills homes? It means there are additional buyers who want to purchase your
home. With less than 3 months of inventory and only 6-7 weeks in some areas of town,
demand for homes is high. When demand is high, houses sell quickly and for top dollar.
With interest rates at historically low rates, it makes affordability easier for home
buyers. If you are considering selling your Las Vegas area home, give us a call, we
would be happy to help you create a marketing plan to yield you the highest return
possible and get you into a new home, benefiting from the low rates yourself.
About Dave and The Radcliffe Group
Out of more
than 10,000 real estate agents in the greater Las Vegas and Clark County
area, Dave Radcliffe ranks among the
Top 1% of Realtors as number 101 during the second quarter of 2015. Dave Radcliffe ranked number 1 in 2014 as the
top producing individual out of 172 Realtor-Agents in his office. Dave has a team of top producing agents and
ranks consistently as one of the top real estate teams at Keller Williams
Realty Southwest Las Vegas because he is all about customer service and
utilizing the best resources in the real estate business. The Radcliffe Group
is your Las Vegas, Summerlin, Centennial Hills, and North Las Vegas real estate connection.
As a retired
police officer, Dave is passionate about giving back to the service community
and dedicates much of his time giving and supporting the Las Vegas Metro Police Department,
Firefighters and Military at Nellis Air Force Base. Military, Fire and Law enforcement never
pay a full commission when they work with the Radcliffe Group. The
Radcliffe Group can assist
you in your Las Vegas PCS or relocation, New Home Construction purchase, Condo
and Luxury Home purchase. Specializing in helping Las Vegas and North
Las Vegas homeowners sell their home for the highest
market value, Dave and
his team will help you yield your highest profit. Call 702-379-3401 when it is
time to sell your Las Vegas, Summerlin, Centennial Hills or North Las Vegas Home.
Check out
and subscribe to our YouTube Channel and follow our Las Vegas Real Estate Blog
at: www.DaveRadcliffeVegas.com
Written by Nickel Lowman
For Dave Radcliffe, The Radcliffe Group
Keller Williams Realty Southwest
702-379-3401
