A Short Sale in real estate is is when the bank is willing to accept a payoff on their outstanding loan for less money than is owed to the them.

 1. The value of the home is less then what is owed to the lender
2. Seller must have a hardship of why they can not pay the lender
3 Seller must have no assets
4. The mortgage is in or near default status

Short Sales happen because the loan on the property is larger than the sale price minus all the sale expenses. With a short sale, the seller is asking the bank to take less than the amount owed. The seller’s bank must approve the sale, and this is where the big delays can happen. In order to approve the sale, the lender requests a complete short sale “package” from the seller. Much like the package you must submit to get a loan, the seller must submit their finances. The lender will want to see the seller’s debts and assets, review their credit score and the contract to purchase the home. After all, why would a bank approve a short sale if the seller had $1 million sitting in the bank?

The Short Sale process and time line is:
1. Document Collection and valuation phase
2. Negotiation Phase,
3. Closing Phase.
Time Line – 6 Months – 1 Year

A Short Sale occurs when a homeowner is in dire financial trouble and has to sell their home for less than what they owe on the mortgage. The lender of the original mortgage gets all of the proceeds of the sale, and either forgives the difference or gets a deficiency judgment, which requires the original borrower to pay what’s left over.

Communicate and Set Expectations.
List the property
Get the value of the property
Negotiate with the lender
Close the transaction

Note, Be Patient while Negotiating With the Lender
Be Resolute.

We solve your problem with a stress free process while we negotiate the Short Sale on your behalf.