Modes of Selling

Homes for sale on the markets are unique by themselves. How they are being sold on the market also matters greatly. Their price and value are structured according to how they are being sold. For instance, Short Sales, Probates, Trust Sales, or Divorce Sales are more complicated than the standard home owner sales. We at Virchu Financial & Investment have the expertise and experience to advice, structure, and help you with all your needs.

Standard Sale: Homeowners deciding to sell their house. For a normal Real Estate Market, this is 70-80% of the total home for sale on the Real Estate Market. When homeowners are selling their house, the Price, Terms, Conditions—negotiation of the purchase are dealt directly through their agents, or representatives.

Trust Sale: When a house is under a trust, it’s called a “Trust Sale.” The Trustor—owner of the trust that the house belongs, is usually incapacitated or deceased. The Trustee, who manages the property for the Trustor, decides the Price, Terms, and Condition of the sale.

The important thing to know about Trust Sales is that the condition of the property won’t be completely disclosed, because Trustee only sale the property on Trustor’s behalf: They don’t live there. They don’t know the property condition.

Probate Sales: When owners of the house dies without stating which family member gets the house, the Court then administer the home sale. It is important to know that Real Estate Probate Sales requires Court confirmation of Price, Terms, and Condition of the sale. The Court often times will take months to process the home sale and eventual closing. In some cases, Probate Sales process is an auction: show up to Court and make your bets.

Avoid probate if you can. It will be very costly. Also, when family members don’t get along, probate can be a long drawn legal battle. As in Trust Sales, Real Estate Transfer disclosures will not be provided, because original owner is deceased.

Divorced Sales: Straight forward: Property is being sold in a divorced. This is similar to a standard sale: Full disclosures will be provided to the Buyers. The only thing about Divorced Sale is that it can be very complicated: Husband Lawyers, Wife’s lawyer, Husband, Wife, Buyer, Buyer’s agent, Buyer’s Lender, Escrow, and Title. It can be as smooth as possible, but also it can be messy, as divorces usually go.

Sellers need an experience Real Estate Professional to represent them in Divorce transactions. With Virchu Financial & Investment, we have represented numerous owners moving on selling their homes through divorces.

Short Sales: Home owners falling behind on their Mortgages are able to negotiate with their bank and do a Short Sale in lieu of an impending foreclosure. All Short Sales Homes have Mortgage higher than its Market Value. Short Sale is beneficial to the current home owner because their Credit Record doesn’t get wiped out.

The Short Sales process begins with an approval from the bank allowing current owner to do a short sale on the house. As a result, the bank completely dictates the Price, Terms, and Conditions of the sale. Current home owner has little say in how the home is being sold.

It is important for current home owner to know that negotiating with the bank requires an experience Real Estate Professional to negotiate on your behalf. Anything less and the current Seller might not get the best deal, or the very least walking away as cleanly. It is important to note also that hiring a lawyer to negotiate a short sale on your behalf is very often frowned on by the banks. Banks are very averse to speaking with lawyers.

At Virchu Financial & Investment, we are experienced Short Sale Negotiators. We will negotiate the best deal and terms for your Short Sale.

1031 Exchange: Real Estate Investors looking to delay their capital gain tax on selling their Real Estate Investment properties can do a 1031-Exchange. 1031-Exchange is a Standard Sale. It must be disclosed to potential Buyers that Seller is doing a 1031-Exchange.

Two things Sellers need to keep in mind when it comes to 1031-Exchange, because it has to do with the IRS: 1) Consult with your CPA and Tax Professionals. 2) Look for a good 1031-Exchange Accommodator.

A 1031-Exchange Accommodator directs the 1031-Exchange process from the very beginning to the end. They ensure IRS guidelines are strictly kept and follow, and should Seller decided to withdraw any funds from the exchange, it must be done properly. We are a team of Real Estate & Mortgage Professional that can facilitate your 1031-Exchange.

VIRCHU Financial & Investment is here to provide you with more information, answer any questions you may have and make your homeownership dream a reality!

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