I was showing homes this weekend to a buyer. His financing is all approved and he is ready to buy as soon as he finds the right property. We are looking in the $60-$70K price range, and, as I expected, quite a few of the homes on the market in that price range are “REO” or Real Estate Owned. That means the home has been foreclosed and is now owned by the bank. When I pulled up one of the properties on the list, I was surprised to discover that I sold the home to a very nice buyer about 2 years ago. I was shocked to learn that the home has gone into foreclosure.

Although I try to keep in touch with past clients via email, letters, calendars, etc., I had not spoken with this client for quite some time. Although I don’t know her situation, I just wish she would have called me when she knew her house was going into foreclosure. While I certainly don’t claim to have any magic solutions for homeowners facing foreclosure, there might have been something I could have done to help. I just wonder if a short sale might have been possible or if the homeowner could have re-negotiated their loan.

If anyone is facing foreclosure, or if anyone thinks they may face foreclosure in the near future, I hope they will contact a qualified Realtor®. Although it is not true in every situation, there are times when alternatives are available. You have nothing to lose by trying, and a Realtor® might be able to point you in the right direction.

I discovered an IRS website this week that also deals with foreclosure issues. Click here to learn more.