November 13, 2019

EVERYTHING YOU WANTED TO KNOW ABOUT SHORT SALES!!

Whether you are a Buyer, a Seller or simply curious . . . 

Short Sales – An Overview
As lenders search for the best way to respond to the mortgage difficulties faced by millions of Americans, it’s clear no single answer is right for every situation. For many, the best option is to sell the home for less than is owed and ask the lender to accept the sales proceeds to settle the debt.

Usually called a Short Sale, the transaction allows the homeowner facing financial challenges the opportunity to sell the property and avoid foreclosure. The lender is able to solve the delinquent mortgage without going through the time and expense of a foreclosure.

SOME FACTS ABOUT SHORT SALES:

Short Sales Take Time
Getting a Short Sale sold, approved and closed takes time. If you feel a Short Sale might be the best option for you, do not wait until the last minute to get started. In our experience, it may take at least 45 days to get lender approval for a Short Sale.

Find an Experienced Agent
Because Short Sales are different from standard real estate transactions, in our experience, it’s best to engage an agent with experience handling Short Sales.  I am a Certified Short Sale/Foreclosure expert. 

When you need additional clarifications . . . or a list of homes currently noted as Short Sales or Foreclosure, please contact me.

“SHORT SALES”

The short sale of a home can be done faster under new Treasury Department rules.  People whose principal residence is worth less than the mortgage on it may be eligible if:
1.  they are delinquent on payments or default seems likely
2.  the loan was made before Janaury 1, 2009
3.  the loan is for less than $729,750
4.  their monthly mortgage payment is more than 31% of their gross income.

Caution:  Mortgage companies do not have to start using these criteria until April 5thWhat to do:  Talk to the bank holding your mortgage to find out whether you qualify under the new rules.