The Encinitas Short Sale from Hell: Closed


by Roberta Murphy

Encinitas short saleEncinitas Short Sale that should never have been….

Kudos to the patient buyers of this Encinitas short sale, because they truly got a terrific deal ($890,000). It was group hug time Friday afternoon when we received confirmation that our 10-month short sale ordeal in Encinitas Ranch had successfully recorded and closed.

Welcome relief is also due the out of area young seller, who had been unwittingly pulled into a raunchy real estate transaction by a couple of sleazy mortgage brokers (one of whom was the seller) , a credit “packager” –and escrow, title and appraisal personnel who surely knew better than to facilitate such a sham.

Our first time home buyer-turned-seller from Los Angeles, with excellent FICO score (and no savings), was lured by the promise of buying an “undervalued” $1.2 million home (100 percent financing) in San Diego that he could profitably sell 6 months later–while someone else made the payments. It was to be his stepping stone to riches. Or so he thought.

Instead, it turned into 16-month nightmare:

. The “credit “packager” forged our client’s name and leased the property at under-market rent. He collected rents and deposits for about four months, until we listed the Encinitas home for sale. At that time, the tenants began paying rent to their attorney and barred us from showing the home. Now, we were dealing not only with a short sale, but a listing that could not be shown.

. Because we had priced the property aggressively, because Encinitas Ranch is a very desirable community, and because we marketed the home everywhere possible, we were able to secure 8 offers–ranging from ridiculous to credible. This in spite of the fact that the
tenants and their attorney would not allow anyone in to see the home.

. Foreclosure sale for this Encinitas home had to be stopped three times because the loss mitigation department of this major lender has a major interdepartmental communication problem.

Real estate commissions were slashed by the short sale lender, but that is nothing new. They also refused to pay HOA fees that were in serious arrears, the home warranty for the buyer, utilities in our name, and a list of other necessities required for closing. But sometimes achieving the impossible is almost worth more than monetary compensation.

Monday morning, I will order the sign removed from this Encinitas property, where it has probably set a record for the longest-standing Realtor’s sign in Encinitas Ranch.

The neighbors will breathe a sigh of relief–and so will we.

Listed below are other Encinitas Ranch homes listed for sale, with most recent offering showing first. If you have any questions, call Roberta or Scott Murphy at either 760-942-9100 or 760-613-6190.

773 Lynwood Drive Encinitas, CA 92024

4 Beds
3.5 Baths
4,432 SqFt
Status Pending
MLS # NDP2100956
Property Type Single Family Residence
Price Type --
Stunning Encinitas Ranch home on private lot with panoramic back country views. Beautiful upgrades and immaculate condition. Dual zoned central air. Owned whole house solar. Tall baseboards. Crown molding. Hardwood floors and new carpeting. Freshly painted. 4 fireplaces. Closet organizers. Chef's kitchen with slab granite counter, double ovens plus microwave, new Sub Zero refrigerator, Bosch dishwasher, beautiful cabinets with roll-out drawers, center island with vegetable sink and adjacent nook. All toilets have been recently replaced. Gorgeous backyard with huge entertaining bar with granite counters and FOUR barbeques!! Firepit, vegetable garden and covered pergola with romantic fireplace and television. Perfect yard for entertaining! Master bedroom has a large view deck with panoramic easterly views. Master retreat has another romantic fireplace. Master bathroom is oversized with separate vanities and super large walk-0in shower. New lighting and mirrors in the master bathroom. There are two bedrooms joined with a Jack and Jill bathroom plus a fourth bedroom with its own bathroom. There is also an office upstairs with custom built-ins. Downstairs is an oversized library/office with French doors for privacy. The formal dining room is oversized and also has doors leading to the backyard. The family room has custom built-ins plus a fireplace. The laundry room is conveniently located on the first floor and the washer and dryer will convey. The 3 car garage features epoxy floors and lots of custom built-in storage. The owner has meticulously maintained this property and it shows! Some details that may be overlooked are all new door knobs on the exterior of the home, all new window and door screens, lots of added lighting, and surround sound. Owner requests 2 hours' notice to show so dogs can be removed from the property.

568 Cypress Hills Encinitas, CA 92024

4 Beds
3.5 Baths
3,769 SqFt
Status Pending
MLS # NDP2101856
Property Type Single Family Residence
Price Type --
Designer showcase with an ultimate California indoor-outdoor entertainment space. Modern and brilliantly planned with extensive attention to detail, this spectacular remodel is sure to impress. Rich hardwood floors, designer kitchen with custom cabinetry, top of the line appliances, and stacking doors that open to the outdoor space designed to be the ultimate hang out spot for any age. Beautiful, bright master suite, two Jack & Jill bedrooms, gorgeous remodeled bathrooms, and an entire secondary master wing with a private living room and retreat that makes the perfect in-law suite. Incredible Encinitas Ranch community with walking trails wrapping the entire neighborhood, close to shops, beaches, restaurants, and I-5.

1026 Alexandra Lane Encinitas, CA 92024

$1,325,000 - 3Br/2Ba -  for Sale in Encinitas
3 Beds
2 Baths
1,625 SqFt
Status Active
MLS # NDP2102054
Property Type Single Family Residence
Price Type --
Rare single story home in Encinitas Ranch! Thoughtful upgrades and attention to detail throughout the home create a beautiful yet functional space.The open kitchen features honed quartz countertops, custom backsplash, floating shelves, living area for lounging, and backyard access for indoor-outdoor entertaining. Private master bedroom includes a large sliding door, upgraded bathroom with soaking tub, and walk-in closet. Wide plank hardwood floors, herringbone tile, custom lighting, plantation shutters, coastal palette, lush landscaping, and much more give this unique home it’s charm. The quiet cul de sac location is ideal with easy access to Encinitas Ranch hiking trails, golf course, Coast Highway, shopping, freeway, and less than 2 miles to the beach. Enjoy the best of Encinitas, this home won't last long!

6 responses to “The Encinitas Short Sale from Hell: Closed

  1. Congratulations are in order to you, Roberta Murphy, for a job well done in closing the short sale from hell. Ten months in escrow…that was one, big overdue baby! A great feel-good ending to what appears to have been an excruciating, nightmarish experience.

  2. Robin:

    Thank you! It will feel so good not waking so early to call WAMU back east at 6 a.m. Encinitas Ranch will also be immensely relieved to have wonderful new neighbors.

  3. San Diego short sales and foreclosures are becoming far too commonplace. Fortunately, some of the lenders are now aggressively trying to save many of the defaulted San Diego homeowners.

    Somehow, I think Santa Barbara will not be quite as hard-hit with foreclosures and short sales as the inland areas of San Diego.

  4. Great job hanging in there. I, too, just hung on to two short sales and incurred some of the same lender problems. I continue to work these deals in Santa Barbara and find that they are going more smoothly and slightly faster. The interdepartmental communication can be the worst! Utimately, getting it done is what matters. Your communication skills were put to great task. Congrats!

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