List your home for sale with a short sale specialist

Short Sale Help

If you are seeking advice and short sale help for homeowners, you’re in the right place.

Short sales are on the rise and you are not alone. There are a large number of people behind on their mortgage payments and upside down on their home that want to avoid foreclosure. If you want to stop your home from going into foreclosure, a short sale may be the right solution for you.

Consider Your Options to Avoid or Stop Foreclosure

Consider Your Options to Avoid or Stop Foreclosure

What are your options if you are upside-down and can’t make the mortgage payments on your home?

There are many options to make your mortgage payment more affordable and avoid foreclosure. Your first option should be to learn more about the Making Home Affordable Program (HAFA). This program helps homeowners who are struggling to make their mortgage payments or predict future hardship.If the Making Home Affordable program is not an option for you, the next step is to contact your lender for possible workout options.When speaking to your lender, consider these options.If you have enough equity in your home,refinancing is a good option. A new mortgage can pay off an old loan, cover the late fees, attorney costs for those missed payments and you may be able to get better rates. Next, consider a loan modification. A loan modification is where you change one or more of the original terms of the agreement to make your payments more affordable. Another option to consider is asking your lender to give you a reinstatement plan. A reinstatement plan is where your lender may agree to let you pay the total amount you are behind in a lump sum by a specific date. Next, a forbearance agreement is where the lender may offer a temporary reduction or postponement of your mortgage payments while you get back on your feet. Another option is a repayment plan. A repayment plan is where the lender gives you a fixed amount of time to pay your past due balance and regular monthly payment. By the end of the repayment period, the mortgage is gradually moved back to good standing.

Consider Your Options to Avoid or Stop Foreclosure

If it is not possible to keep you home, there are still ways to avoid the financial impacts of foreclosure. One of these ways is a short sale or short payoff. A short sale is when you sell your home for less than what you owe Learn more. Your next option is to give your home back to the lender, this is called a Deed-in-lieu of foreclosure. This is where you voluntarily transfer title back to the bank and cancel your mortgage debt. This may have tax implications and may not be possible if there are other liens against your home. Another option is to do an assumption, which is to find a qualified buyer or investor to take over the mortgage debt and payments. Most of the mortgages are non-assumable and depending on today’s interest rates, buyers can shop to find better deals. Your last resort is bankruptcy. If you are absolutely bankrupt and have no options left, find a good bankruptcy attorney to help you with the process and that can act on your behalf. There are always options!

How to Qualify for a Short Sale

How to Qualify for a Short Sale

What is your hardship situation?
Any of these situations may qualify you for a short sale.

 
  • Job loss or unemployment
  • Relocation or involuntary job transfer
  • Loss of income
  • Decrease in working hours
  • Medical expenses
  • Major repairs on existing home
  • Divorce
  • Increased living expenses
  • Death of borrower
  • Short term or permanent disability
  • Death of spouse or family member
  • Business failure
  • Vacant investment properties
  • Bankruptcy
Items the lender wants to see when considering a short sale

Items the lender wants to see when considering a short sale

Each bank has its own guidelines. The bank will ask for these items in the short sale package:

 
  • Recent Mortgage Statement
  • 2 most recent months of paycheck stubs (if employed)
  • 2 most recent months bank statements
  • 2 most recent years W2’s
  • 2 most recent years Tax Returns
  • Property Tax Bill (If it is not included in the mortgage)
  • Property Insurance Bill/ Statement (if it is not included in the mortgage)
  • Homeowners Assoc. Bill (If you have a Homeowners Association)
  • Sellers hardship letter
  • Complete financial statement
  • Letter of authorization (which lets your short sale agent speak to the bank)
  • HUD-1 or Preliminary Net Sheet
  • Comparative Market Analysis or list of recent comparable sales

Short Sale Process

Know how the short sale process works.

The short sale process starts after you have exhausted all of your options and alternatives with your lender(s) to stay in your home. Once you decide that you can’t stay in your home, the short sale process begins. First, hire a professional short sale Realtor to list your property. Your Realtor will need all the documents listed in the bank short sale package. Your short sale Realtor will list your property at a price the market will bear. Banks are not in the business of giving away homes at rock bottom pricing, so the home should be priced just below comparable sales to encourage multiple offers. Second, after the seller or homeowner accepts an offer, the listing agent (Your short sale agent) will send in the listing agreement, executed purchase agreement, the buyer’s pre-approval letter, a copy of the earnest money check, and the rest of the items mentioned in the short sale package. If the short sale package is incomplete, the process will be delayed. Third, remember to be patient because the short sale process can take 6 to 8 weeks, 90 to 180 days on average, and others can take over a year to close in some cases. After several months, buyers get irritated waiting for a response from the bank for a short sale approval and feel the want to cancel if they don’t get an answer by a specific time. It is crucial that the listing agent or short sale negotiator to call the bank regularly and keep careful notes of the short sale procedure. Once the bank receives the complete short sale package, the banks short sale process usually looks like this:

 
  • The lender acknowledges receipt of the file. (This can take 10 to 30 days.)
  • A negotiator is assigned. (This can take 30 to 60 days.)
  • A Brokers Price Option (BPO) is ordered. (This can take 10 to 15 days.)
  • A second negotiator could be assigned. (This can take another 30 days.)
  • The file is sent for review or to the PSA. (This can take 15 to 30 days.)
  • The bank might request that all parties sign an Arm's-Length Affidavit.
  • The bank issues a short sale approval letter.
  • The buyer cancels, and you have to start the short sale process over.
 

Most national banks that do loans nationwide are regulated by the Office of the Comptroller of the Currency (OCC) or the Board of Governors of the Federal Reserve System (FRB), so the short sale process is very similar no matter which state you live in. Almost all banks are regulated by both federal and state government agencies making the foreclosure laws different state by state. Each bank may have a different variation of rules, but they all follow state foreclosure laws when dealing with short sales.

 Foreclosure Process Timeline

Foreclosure Process Timeline

Understand the foreclosure timeline chart while you are in the short sale process.

After the borrower has been late on your mortgage payments for 15 to 90 days, your lender will file aNotice of Default (NOD). Sometimes the borrower can be late on payments for over a year before the notice of default is filed. From the time the notice of default is filed with the county, the borrower has 90 days before the notice of trustee sale (NOS) is filed. This time period is known as the reinstatement period. The notice of trustee sale sets the date and time the auction will take place and must be posted and published 21 days before the sale. During this 21 day period, the auction can be postponed by the bank, the borrower can pay the loan off in full, subject to superior lien holders, and can be cancelled. 5 days prior to the sale date, the borrower’s right to reinstate expires. At the auction, the property is sold to the highest bidder or reverts back to the bank and becomes "bank owned."

 

Home Affordable Foreclosure Alternatives (HAFA)

Get up to $3,000 towards relocation costs through a short sale "Government Assistance."

The Home Affordable Foreclosure Alternative is a government sponsored program available in areas that provide up to $3000 in relocation costs to homeowners for a short sale versus foreclosure. A short sale is much better for your credit than a foreclosure. You will need the services of an experienced Short Sale company that will advise you whether you are eligible to receive relocation cost benefits under the HAFA program. To take full advantage of all the benefits available to you under the government HAFA program complete the evaluation form and we will connect you with a top Short Sale Realtor that can thoroughly explain HAFA to you.

Short Sale Company

Avoiding a foreclosure and performing a short sale could be the right solution for you.

Just take a second to complete our free no obligation Short Sale Evaluation form and a Short Sale Specialist will put you on the path to short sale approval. Our short sale agents have connections with most of the major banks such as Bank of America, Chase and Wells Fargo to help you through the short sale process. The short sale process can be a long and tedious task and negotiations could take months to complete. We strive to shorten this transaction timeline.

Our short sale experts will take the time and effort to fully explain the benefits of a Short Sale versus Foreclosure. The greatest benefit is that our short sale services are absolutely free to you. How are the short sale services free you ask? The lender will pay the commission to the short sale Realtor, thus relieving the seller of all commissions owed to the agent. In some cases, we may even get the seller a relocation cost credit to go toward the move to a new place. As a short sale specialist, we know all the ins and outs of how to short sale a home.
 

Short Sale Realtors

Have a Professional Short Sale Realtor on your side.

Short Sale Realtors are a dime a dozen. The fact is, too many realtors claim to be experienced with short sales even if they are not. We work with the top short sale Realtors to facilitate a smooth and effortless short sale process. We are the Short Sale Experts. Our short sale Realtors have a proven track record and can negotiate a short sale from beginning to end with your lender(s). To complete a successful and favorable short sale, you need an experienced local short sale agent that is well versed with the short sale process, and is also familiar with your area.
 

Short Sale Agents

Work with the best short sale real estate agents.

What is the difference between a short sale agent and a short sale Realtor? They both have to be licensed by the Real Estate Commissioner and follow the real estate laws. They both specialize in facilitating short sale transactions and negotiations with the borrower’s lender(s). The main difference is that a real estate agent is a Realtor when he or she is a member of the National Association of Realtors. A Realtor has to abide by a stricter Code of Ethics and Standards of Practice.

 

Short Sale Experts

Hire a local short sale expert to sell your home.

You want to hire a short sale Realtor who is an expert in your local real estate market. It would be in your best interest to hire a third party real estate professional to negotiate your short sale with the bank. If you are not familiar with the short sale process, real estate contracts and disclosures, foreclosure timelines, real estate marketing and home valuations, answering calls, setting appointments for inspections and showings, repair orders, loan approvals, natural hazard and, title reports, and escrow documents, you should hire a professional. Not all short sales are successful because every lender and situation is different. A short sale expert can examine your circumstances and be knowledgeable of your options.

Short Sale Specialist

Short Sale Specialist

Hiring a short sale specialist will save you time, money, and effort.

Why hire a short sale specialist? A real estate short sale specialist will make sure that your property is priced to compete with other listings in your area. A short sale specialist will work with the banks on your behalf and negotiate the best price and terms for/from potential buyers. They will make sure the lender(s) have the proper documents for the bank short sale package and update it periodically with the most recent paycheck stubs, tax returns, W2’s, and bank statements. They will also contact your bank and work with short sale negotiators to keep you updated about your short sale approval. A short sale specialist will place your property on hundreds of websites on the internet for maximum exposure because that is where 90% of buyers start their home search.

 

Real Estate Short Sale

You can sell your home for less than what you owe.

Our company specializes in helping you achieve that process with your lender(s). Please feel free to contact us today at (877) 663-9366 or fill out the form below to have a Premier Agent Network Short Sale Expert contact you.