Is Your Home Worth Less Than Your Mortgage in New York?

That is the question that many home owners, politicians, and policy makers are worried about these days.

With various federally guaranteed and initiated plans designed to help homeowners in this time of falling home values and prices, how are we going to decide which homeowners should get assistance, and which sellers are just savvy enough to ask for such assistance?

Here’s a recent article from the WSJ, but there are many recent articles identifying the rub– which home owners should get the help.

On commentator recognized that Fannie Mae recently changed their rules for borrowers who do a short sale. Instead of having to wait five years to qualify for a new Fannie Mae loan, and to encourage short sale, Fannie Mae is now requiring only a two year wait. [See Announcement 08-16 published on June 25, 2008].

Bottom Line– Realtors and Brokers and New York Real Estate Lawyers and Sellers– Go for the Short Sale in New York, but beware of the situation.