Property Appraisals Significantly Affect Short Sales And Foreclosures

SAN FERNANDO, CA, March 21, 2011 (Press-News.org) Property values have changed dramatically and the premiere Los Angeles Appraisers, Appraisal Evaluations, Inc., have recently begun to focus on assisting their clients with Short Sale transactions in Southern California, with accurate appraisals based on over 100 years of combined experience.

The number of short sales and foreclosures taking place has occurred in numbers that are only eclipsed by the Great Depression. Individuals and companies are turning in greater numbers to the services of Appraisal Evaluations, Inc. in Los Angeles, Ca. The firm provides property appraisal values for short sales and foreclosures.

Economic conditions have rendered many homes worth far less than the mortgage amount. Some owners attempt to sell their home, only to find that the property values are much less than they anticipated.

According to the firms' Chief Valuation Officer, Jason Fischman, IFA, "A number of mortgage holders are agreeing to short sales in an effort to cut their losses. In a short sale, the property is sold for as much as possible, even if it's less than what the owner owes, with all proceeds going to the financial institution that holds the mortgage."

A short sale is conducted when the homeowner can't pay their mortgage. It allows them to avoid foreclosure and is less damaging to their credit rating. A short sale is beneficial to lenders, even though they lose money on the mortgage, as it costs less than the typical fees associated with a foreclosure. Homeowners who agree to a short sale should be aware that they might still owe the difference between the original mortgage amount and the amount of the short sale. This varies by state and a qualified tax advisor should be consulted.

Lenders utilize property appraisal values as determined by professionals such as those of Appraisal Evaluations to determine valuations for a short sale. Since borrowers may be liable for the difference in costs in a short sale, homeowners may still find themselves responsible for a significant amount of money.

The same is true for buyers who have defaulted on their mortgage. When a mortgage holder forecloses on a property, the financial institution takes the property and places it back on the market for sale. Any proceeds from a sale go to the lender. If the property doesn't sell for enough to pay off the original owner's mortgage, the lender may be able to file a claim to recover the difference in what was owed and the resale of the property. The buyer who defaulted won't owe the entire mortgage any longer, but they may be held responsible for the difference. Again, this varies by state and a qualified tax advisor should be consulted.

The amount a homeowner ultimately owes through foreclosure or a short sale is dependent upon accurate property appraisal values. It's imperative that a property appraisal be conducted by an independent firm with a reputation for accuracy. Appraisal Evaluations has an exemplary reputation for accuracy and efficiency.

Appraisal Evaluations, Inc. is the premier Los Angeles Property Appraiser, providing expert property appraisal values for short sales, foreclosures and a variety of other needs. The firms' experts have extensive experience with a comprehensive array of properties, allowing for the most accurate property appraisal values available. The firm has been serving individuals and businesses in Southern California since 1989. The firms' experts are knowledgeable in appraisals for single-family dwellings, condos, planned unit developments (PUDs), small residential income property, cooperative units, and new and proposed construction. Property values can vary greatly and the firm is cognizant of values in the markets they serve. The firms' blog at http://www.LosAngelesAppraiser.org contains a wealth of information on all aspects of property appraisals.

Appraisal Evaluations, Inc. Located at 233 N. Maclay Ave., #310 in San Fernando, the firm can be reached by phone at 818-698-1501, by fax at 818-332-4188, or via email at info@appraisalevauations.com. For more information, visit their website at http://www.AppraisalEvaluations.com

Appraisal Evaluations, Inc. is the premier Los Angeles Property Appraiser, Serving The Southern California Since 1989