Jason Ellis literally grew up in the real estate business. His family has been in the realty field since before he was born, and real estate runs in his blood. For more than a decade, Jason has carved out an impeccable reputation among Grand Strand and Myrtle Beach area real estate professionals. He instinctively understands the true value in making the correct decision in a real estate deal, and has been involved in all aspects of the business from straightforward homes sales to complex million dollar foreclosure proceedings. Jason will handle all aspects of distressed assets, short sales, and foreclosure properties for Beach Realty through his current company, Coastal REO Solutions.

Coastal REO Solutions specializes in Myrtle Beach short sales, bank owned homes, property preservation, and other distressed real estate. CRS is devoted to stabilizing the Myrtle Beach real estate market by offering property assessment, risk management services, receivership management, sales and marketing of short sale property and other real estate assets in any stage of foreclosure. They are the Grand Strand’s leading REO and Troubled Asset Real Estate Firm, and no matter what stage of foreclosure you find yourself in, they can assist you with the process.

Beach Realty agents are ‘native sons’ of the Grand Stand and Myrtle Beach region; their knowledge and understanding of its distinctive culture, economy and resources are unmatched. Working with Beach Realty, you get the reliability and dedication that comes from a team of seasoned professionals who are willing to go beyond the call of duty for you or your family. They specialize in maintaining one of the largest inventories of direct oceanfront and first row houses in the Garden City, Murrells Inlet and Surfside area of Myrtle Beach.

The addition of Distressed Asset & Short Sale Manager Jason Ellis means Beach Realty is poised to extend further into the Grand Strand real estate market in a manner that many other companies cannot equal. Beach Realty agents will be better equipped to help you sell a troubled property with Jason’s expert guidance, and of course they are already experts at finding you the perfect oceanfront home or vacation rental from which to enjoy the glorious summers and mild winters here on the Grand Strand.

On behalf of Coastal REO Solutions, we would like to welcome all the fine agents and staff from Beach Realty into our family and we look forward to Coastal REO Solutions becoming part of the Beach Realty family.

A recent list on CNN Money rank Myrtle Beach as 6th in the highest percentage of Foreclosure increase in the nation. As a resort destination the vast majority of these foreclosures are second homes. Many of the properties were purchased by speculators and “flippers” that found themselves without a seat when the music stopped. This has presented a great opportunity for the many buyers that were priced out of the real estate market during the boom of 2006 and 2007.

However, this trend could easily be stopped with a process called a “Short Sale”. A short sale in real estate occurs when the outstanding debt (mortgage) against a property is greater than what the property can be sold for. Short sales are a way for homeowners to avoid bankruptcy or foreclosure proceeding by convincing the bank to accept a discounted payoff, meaning the lender will release the lien that is secured to the property upon receipt of less money than is actually owed. With a successful short sale you can avoid the public notification of a foreclosure and more importantly keep the foreclosure off of your credit report.

There is absolutely no reason to let your property go to foreclosure. At Coastal REO Solutions one of our asset managers will assist you through the Short Sale process. Through a short sale you still maintain some control and we can negotiate the deficiency (money still owed to Lender after the sale) down and even sometimes away. If you do nothing and let the lender foreclose on your property they will dictate how much money is owed.

Don’t forget to sign up for our monthly newsletter to stay informed and feel free to use our custom one-touch short sale and bank owned property search application. Timing has never been better to purchase property in Myrtle Beach.

If you are headed towards foreclosure please call or email us!! We can HELP! 843-839-8046 or info@coastalreosolutions.com.

Coastal REO Solutions specializes in short sales, bank owned homes, property preservation, and other aspects of distressed real estate, in Myrtle Beach, North Myrtle Beach, Surfside Beach, Garden City Beach, Murrells Inlet, Pawleys Island, Grande Dunes, Plantation Lakes, Plantation Point, The Dunes Club, North Beach Plantation, Legends Resort, Ocean Front Condos, The Grand Strand and many other areas along the Coastal Carolinas.

A recent article in The Sun News stated the number of Myrtle Beach foreclosures filed by Home Owners Associations (HOA’s) have more than doubled from 181 Myrtle Beach foreclosures in the year 2007 to 481 Myrtle Beach foreclosures last year in 2008, figures they obtained from local Garden City real estate information company, Sitetech Systems. Sitetech also found 260 Myrtle Beach foreclosures in the first nine months of this year by HOA’s. A Home Owners Association is comprised of all the people who own a house or condo in a given neighborhood or building. It is usually started by the developer of the property, and turned over to a committee of homeowners to enforce any covenants, laws or restrictions that are agreed upon by property buyers. They also collect fees for maintenance of common areas, landscaping and any neighborhood amenities, such as pools, walking trails, tennis courts, gyms and playgrounds. Every property owner must abide by the HOA agreement and pay these dues, and failure to do so creates a situation where the HOA has to take action to enforce the rules and collect the outstanding fees. This is where the foreclosure option comes into effect and increases the number of Myrtle Beach foreclosures on the market.

A great many condos, manufactured houses, and townhomes that are on the Myrtle Beach foreclosure market are not primary homes, but rather second homes for people from other areas of the country purchased during the past decade when the U.S economy was riding high. With the current economic downturn, people aren’t able to continue to pay for luxury items, like second homes at the beach, when the cost of necessities has sky-rocketed and out-of-control government spending threatens the small signs of economic recovery that we are experiencing the last few months. Home values continue to trend downward, even as sales have shown an increase from the Home Buyer’s Tax Credit, and many owners could find themselves underwater on not one, but TWO mortgages.

HOA’s are seeing a marked increase on the number of owners who are behind on their association dues, and under South Carolina laws they have the right to place a lien on the property, and in extreme cases they have the option to file foreclosure proceedings against the delinquent owner. A quick check of any Myrtle Beach foreclosure listing will turn up a significant number of short sales on second homes to try to avoid foreclosure as well. HOA’s are also reportedly seeing an increase in the numbers of owners who simply hand in the keys to the property and just walk away from their second home obligations to secure on their primary residence’s mortgage. Lenders are then sidled with a growing number of bank owned properties that aren’t selling and aren’t producing income.

This is where Coastal Reo Solutions can be of assistance. Our Reo Services team can take the burden off the lender, and our Reo Management agents can secure, preserve, market and capitalize these properties. Visit our contact page to leave us a message or call us concerning Myrtle Beach foreclosures, bank owned and realestate owned properties, or to see how our easy, low-cost comprehensive services compare to other reo asset management companies in Myrtle Beach, South Carolina.

I recently had a chance to sit down and discuss the current climate of Myrtle Beach real estate with one of the most successful and   knowledgeable foreclosed property specialists in South Carolina, Jason Ellis of Coastal Reo Solutions.

Q – Jason, what are you seeing in the Myrtle Beach home market right now?

A – We are experiencing a rise in foreclosure properties and short sales, and I expect that this trend might continue in the foreseeable future. We have seen great gains in the number of homes and condos that have been sold this summer, partly from the First Time Buyers Tax Credit and hopefully because the worst of the recession is behind us. But a great many of those sales have come from the value buyers are finding in short sale and foreclosed properties.

Q - Jason, what exactly is a Foreclosure?

A – This is the lawful course of action that a mortgage lender could employ to repossess your house. Once this happens, you must move out of your home, because possession and ownership reverts to the mortgage holder. If your property is “underwater”, which means its value is less than the total sum of money that you owe on your real estate loan; a deficiency judgment could be pursued by the lender against you as well.  Foreclosures and deficiency judgments could both severely impact your ability to qualify for credit for at least 7 years, and in some cases up to 10 years.

Q – What steps should I take if I am unable to make my mortgage payments?

1.  NEVER avoid your lender. The bank doesn’t want to take your property from you, believe it or not. They would much prefer to work out a solution to the problem at hand, rather than create a new more complex one for themselves.

2.  Document whatever fiscal adversities you face: the loss of a job, salary reduction, medical problems, natural disaster, death of cosigner, etc.

3.  Your lender can’t help you if they don’t know how to contact you! Call, visit, or write to your lender’s Loss Mitigation Department as quickly as possible to begin a loan workout.  Your lender will be more apt to work out a solution with you if they realize you are making an effort to correct the situation before it gets any further out of hand.

Q – What options are available to me avoid foreclosure?

A – I can think of a few that will help prevent a person from losing their home to foreclosure. Of course, every situation is different and that’s why I suggest getting to a professional agent as quickly as possible. They will know all the arrangements and options that are on the table, and they have a better chance of saving your home than you would on your own, in most cases.

Mortgage Modification – Under certain circumstances your lender can modify your present loan to make it more affordable and repackage any missed payments into the new loan. You might qualify for this option if you have recovered from your financial problems and can afford the new payment amount.

Special Forbearance – This is an arrangement that would be made with the lender to acquire a brief suspension of your mortgage payments. The missed payments, delinquency fees and accrued interest would then be added to the outstanding loan balance. The structure of the repayment plan would vary depending on the lender. One lender may add the back payments owed on to the principle amount of the loan.  A different lending company might lower the interest rate on the mortgage, or could even lower the monthly payments for a prearranged amount of time.

Pre-Foreclosure Sale or Short Sale - This option might permit you to sell your property for less money than is necessary to pay off the full balance of your mortgage loan. In a short sale, the mortgage lender or bank agrees to markdown the value of the loan balance because of a financial or economic hardship experienced by the borrower. The property owner sells the mortgaged property for less money than the outstanding balance of the mortgage and turns over the entire amount of the sale to the lender to satisfy their debt in full. Neither side can be said to be “doing the other a favor.” A short sale could simply be the most simple and economical solution to the problem.

Deed In Lieu Of Foreclosure – This option will allow you to willingly return the property to your lender without damaging your credit further. The “deed in lieu of foreclosure” offers numerous advantages to both the borrower and the lender. The chief advantage to the borrower is that it releases them instantly from the majority, or possibly all, of their personal debt connected to the defaulted loan. The borrower also avoids the public embarrassment of a foreclosure proceeding, and they could obtain more liberal workout terms than they might in formal foreclosure actions.

Q – Couldn’t I just file for Chapter 7 or Chapter 11 bankruptcy and keep my home?

A – Bankruptcy needs to be avoided at all costs.  It’s very important to stress that point to the people who find themselves in this unfortunate position. Bankruptcy is the most damaging thing a person can do to their credit. If this is your only option and you are consulting with a Bankruptcy Attorney, provide the attorney’s name and phone number to your bank.  This will at least get the bank, or collection agencies they have hired, to stop calling you directly.

Q – How could your company help a person or institution in the foreclosure process, and how can they reach you?

A – Coastal REO Solutions (CRS) is a firm devoted to stabilizing the Myrtle Beach real estate market by offering property assessment and risk management services of  property and other assets in any stage of foreclosure. We are the Grand Strand’s leading REO and Troubled Asset Real Estate Firm, so no matter what state of the foreclosure process you find yourself in, call Coastal REO Solutions and we will do our best to help you through this troubling time in your life. We can’t help you if we don’t know about your situation, and contacting us early in the proceeding is absolutely vital for a positive outcome. We accomplish this by utilizing our staff’s superior knowledge of market conditions and strategies. Our phone number is 843-839-8406 and our email address is Info@coastalREOsolutions.com.

If you are a buyer, investor, or speculator looking to purchase foreclosed real estate be sure to use the proprietary search application located on our website.  CRS also has access to Bulk REO packages and Bank Notes that may be purchased.

Follow us on

Coastal REO Solutions is a lenders best weapon in the fight to effectively evaluate, secure, maintain, list and commodify their foreclosure properties. A recent transaction with Horry County State Bank (HCSB) involving the foreclosed Calypso Motel in Myrtle Beach, South Carolina provides an excellent example of the complex nature of commercial REO properties and our ability to manage these complexities on your behalf. Our agent’s keen understanding of the Grand Strand marketplace, combined with their ability to manage a property to its fullest potential, provides a stress free experience and a strong return on investment for our clients.

In this particular situation, we were able to negotiate a much higher than anticipated selling price for the property, and in fact, the foreclosed motel was sold for more than the original listing price. Our marketing effort included a targeted mailing strategy, extensive buyer databases, online media programs uniquely designed to reach prospective buyers via email, MLS listings, blogs, newsletters, and carefully selected website placements.

With our goal to provide a single point of contact and accountability for clients of distressed properties, we implemented a series of measures to secure, operate and maintain the property. An immediate visual inspection with an eye toward any situation that might be a potential safety hazard or local ordinance violation was completed, as well as an inventory of personal property and motel equipment. Next, we began the task of limiting liability for the customer by ensuring all assets were secure from intrusion, theft and damage. Within 48 hours CRS had all locks replaced with new ones and every existing tenant’s lease was converted to a lease that we structured to remove liability from HCSB. We coordinated all third-party billing of necessary repairs, maintenance services, staff and the motel’s utilities into the Coastal REO Solutions name to provide a solitary accounting payout for HCSB. We also established property rental management procedures and handled new rental customers to maximize the cash flow stream of the motel during the foreclosure process.

In essence, we became the new management of the site to ensure continued proper, legal and uninterrupted operation until a new buyer was located and ownership was transferred from our client to the new owner.

Here is Debbie Guyette’s (HCSB) take on it, “Today’s Market is perhaps the most challenging financial market many of us have ever faced. As a Commercial Banker and Manager for HCSB I whole heartedly welcomed the efforts of Coastal REO Solutions. Their thorough needs assessment analysis reassured me that I had made the right decision. Jason’s attention to detail, informative reports, responsiveness and marketing strategies for the Calypso gave me the piece of mind that I needed in order to focus my attention on developing new business for HCSB. Jason succeeded in increasing revenues by 33% With the increase in revenues Coastal REO Solutions was able to negotiate a higher sales price for the Bank.”

These examples are really only a portion of the all the services needed to facilitate the process of keeping a foreclosed commercial property in a viable position to operate, thrive and begin a new life as a healthy functioning entity. We realize that most lenders are simply not equipped to deal with these situations, and that’s why our single contact system is designed in this manner. Don’t let another day go by with a perfectly functional foreclosed commercial operation languishing on your balance sheet, when Coastal REO Solutions can have it adding to your bottom line with minimum effort from your institution.

Contact us today to find out more about our programs.

A short sale has been considered a stopgap measure to prevent a surplus of foreclosures for an institution, but recent trends have shown that fewer and fewer short sales are actually being approved or completed, resulting in the continued climb in foreclose properties in the marketplace. Some buyers have become frustrated with the process and choose to pursue other options because short sale transactions have been delayed for many months. This has been attributed to the lack of standardized procedures within the mortgage industry to manage these arrangements. Each individual institution may have its own set of policies, which presents a difficult avenue for realtors and their clients to pursue. Many lenders simply do not have the requisite staffing, knowledge and systems in place to process short sales in a suitable time frame for a buyer to take advantage of the bargain. Another problem is lack of experience and education among real estate professionals in working with these new marketplace options.

Here at Coastal REO, we are ahead of the learning curve dealing with short sales and foreclosed properties and recently completed a million dollar deal on a property in Myrtle Beach, SC. You can be assured that working with our team can prevent the time loss and potential revenue loss that comes with attempting to complete these complex transactions with an inexperienced agent. Contact us today to see how we can move forward with your particular circumstance.

2. FORECLOSURES NEED LOTS OF REPAIRS
This is just simply not true… Many homes need just the everyday maintenance and a lot of them are even in “move in” condition.

3. ALL THE GOOD PROPERTIES ARE BOUGHT BY “INSIDERS” 
The foreclosure process is public knowledge – By law in South Carolina notice of sale requirements are posted in the courthouse and published in local newspapers 3 weeks prior to being sold.  The best way to become an “insider” pay attention to the local markets and find a Realtor that has the pulse on the local markets.

4. BUYING AND/OR INVESTING IN FORECLOSED HOMES IS TOO COMPLICATED FOR ME
With the help of a trained professional buying a foreclosed home or REO property is actually as easy if not easier than a regular real estate transaction.

Don’t forget to check out our REO Information Page for more FAQ’s

Nearly 804,000 homes received at least one foreclosure-related notice from January through March, up from about 650,000 in the same time period a year earlier, RealtyTrac says.

Many lenders and servers had put a moratorium on foreclosures, waiting for the details of the Obama administration’s foreclosure plan. But now they are back with a vengeance. The end of the moratorium is also driving an increase in the availability of REO properties, according to RealtyTrac.

Nevada, Arizona and California had the nation’s highest foreclosure rate. Other states in the top 10 in the first quarter were Florida, Illinois, Michigan, Georgia, Idaho, Utah and Oregon.

States with the highest number of actual foreclosures, 60 percent of the total, were California, Florida, Arizona, Nevada and Illinois. Rounding out the top 10 were Michigan, Ohio, Georgia, Texas and Virginia.

One in every 159 homes nationwide was at some stage of foreclosure, according to RealtyTrac.

Source: RealtyTrac (04/09/2009)

More borrowers are expected to lose their homes to foreclosure as the nation’s largest mortgage companies lift their internal moratoriums on home repossessions and start to determine which troubled borrowers cannot be helped.

The mortgage companies say the Obama administration’s housing plan has given them a better idea of which borrowers they should assist, but their actions could be politically sensitive because some lenders received funds from the federal government’s financial stimulus program.

An increase in foreclosures could lead to a further decline in residential prices and put more pressure on the earnings of banks as they write off troubled loans.

Source: Wall Street Journal, Ruth Simon (4/15/2009)

…a simple two part solution that will not cost taxpayers a dollar out of pocket

With billions of dollars flowing into various industries and no apparent results or an end in sight, what is the answer? By now, everyone is aware the root cause of the economic downturn is real estate and real estate mortgages.

The solution is simple. The first part everyone will like. The second part will not be so popular, but is an evil we will have to live with.

First, we are all aware that outside of diminishing consumer confidence largely perpetuated by the media; the biggest trouble in the housing industry is SUPPLY. There are simply too many homes for sale! How do we cure this problem? We need demand and urgency…

If Congress would enact a law making every real estate purchase completed prior to December 31, 2009, exempt from Capital Gains, investors would flee the instability of the stock market and flood into the real estate market.

The demand comes from the investors leaving the stock market and others looking to capitalize on the exemption…they have to have somewhere to put their money.

The urgency comes from this being a ONE YEAR exemption. Any home bought in the 2009 tax year will not be subject to Capital Gains Taxes when sold – EVER. With people flooding back into the market not only will inventory/supply dwindle, prices will stabilize, homeowners will regain equity lost, and much more. With regained equity and stability, consumer confidence will be improved and people will start spending money again…and in turn jobs will be created.

The Second part needs a little preamble – A lot of you are going to say this is not “FAIR.” I will retort with my standard answer to this childish word – “NOTHING IN LIFE IS FAIR.” Fair is a word that should only be used by children because the concept or at least the execution of fairness does not exist in the real world.

On to the second part of the solution – Mortgage resets, troubled mortgages, and mortgages in some stage of foreclosure.

These properties are FLOODING the Real Estate market with “For Sale” homes that should not or do not need to be “on the market.”

Congress needs to pass a law resetting every home mortgage for owners that are more than 30 days behind. This means that the deficiency (delinquent payments) would be added to the back end of the mortgage allowing homeowners to get caught up.

Congress also needs to pass a law resetting every Adjustable Rate Mortgage (ARM) to a flat fixed rate in the range of 5.5% to 6.0% and extend out the mortgage term of the loan. This will help the homeowners who qualified at teaser rates, but now cannot afford payments that have increased more than 50%. To stabilize the market, we need these people to stay in their homes and keep them off the market. Is this going to save everyone? Of course not!  Some people can’t be saved and this is just another fact that proves nothing in life is fair.

I know your thoughts – What about me? I have been working my tail off to pay my mortgage on time. Why should they get a break and not me? Well, you are getting a break…just not one that is immediately visible. What good is it if you are paying your mortgage and four of the homes in your neighborhood go into foreclosure and sell at auction for FRACTIONS of their value? If you bought your home for $300,000 and 4 similar homes in your neighborhood sell for $200,000 – your home is not worth the $300,000 that you paid. It is now likely worth $200,000. So, with the loss of property value, your bank may freeze or cancel any equity lines that you have tied to your property. Are you seeing any benefit yet?

Are these two suggestions some magical cure for the economy? No they are not. However, these changes could be a strong foundation to stimulate economic recovery.

Just the ramblings of a Myrtle Beach, SC Realtor®