This is an ongoing question and I want to further explain what exactly is a hardship.  A hardship by the lender's definition is the circumstance or situation in your life which makes you unable to pay your mortgage payment each month, on time.  The most common situations I come across as a short sale specialist are:

• Loss of job - unemployment
• Under-employment - now working part-time instead of full-time
• Loss of income for the self employed.  Your business is simply not generating the amount of income that it previously did.
• You have been afflicted with a serious medical condition like cancer which prevents you from working.
• Hurt on the job - worker's comp
• A serious medical condition (like cancer) in a spouse, child, or other close family member.
• Divorce or separation
• Death of a spouse or close family member
• Job transfer to another city or state
• Employment opportunity (to the previously unemployed) in another city or state

There are certainly other hardship reasons but these are the ones I run across the most.  One of the most important things to do when you find yourself with one of these hardships is to contact a competent and experienced Realtor as soon as possible.  Do not wait until you get a foreclosure sale notice.  There are plenty of ways to mitigate your circumstances and avoid a foreclosure.

For more information on Nashville Short Sales, please visit www.ShortSaleNashville.info

In the last three weeks, I have had several sellers call me inquiring about a Nashville short sale.  One caller in particular was not behind on his mortgage payments, not facing foreclosure.  This seller was inquiring about an investment property that was acquired some years ago and it is currently tenant-occupied.  He had good tenants who had been there for a few years with no complaints.  As the market has declined in the Nashville area over the past few years, the caller knew he was in a negative equity situation and simply did not want the property anymore.  Upon further questioning, I found that the tenants was paying the rent on time and the rent was covering the mortgage payment.  The potential seller had a stable income and money in the bank.  He just did not want this property anymore as he viewed it now as a liability instead of an asset.  This seller also did not want a "full blown foreclosure" on his credit report.  He wanted to do a short sale in order to dump the negative equity situation.  I advised him that even if the short sale were approved, his lender would be expecting some type of cash injection into the deal at closing either in a lump sum or a promissory note or a combination of the two.  This is not what he wanted to hear.  I explained to this potential seller that he does not have a hardship to warrant a short sale. 

I talk to people everyday who have lost a job, lost/divorced a spouse, have serious medical problems, or need to relocate for work.  These are legitimate hardships and the lenders should work diligently with these people to help alleviate the burden this property now presents.  But if you are just looking to get rid of a non-performing asset without a true hardship, a short sale is not the way to go.

For more information on Nashville Short Sales, please visit www.ShortSaleNashville.info