The term "Short Sale" means that the lender is agreeing to take less for payoff of the mortgage than what is owed. In simple terms they agree to "short" the payoff. The time it takes to get this done is all but short.
There are a few things that homeowners can do to speed up the process.
1. Have your financial documents in order. Lenders are going to want a financial worksheet completed, signed and dated by the homeowners. They are also going to want to see documents to support income and assets (i.e. pay stubs, bank statements and tax returns). Gather your documents and keep them in a easy to locate place in case the lender asks for additional documentation. Do not pack them away in anticipation of your move to a new location.
2. Keep your home accessible. Make sure that appraisers/inspectors have access to the property. Lenders will order a Broker Price Opinion (BPO) or an appraisal to assess the value of your home. This is an important part of the short sale process and ensuring these hired individuals have access to the property in a timely manner is important. Leave the lockbox on the home.
3. Be honest. In completing your financial worksheet do not overstate/understate your financial position. Giving the lender a clear picture of what is happening in your actual life is important. They don't know you....you have a paint the picture for them in clear and precise terms.
4. Hire an experienced Realtor. Don't hire a realtor who has never done a short sale before. This is a long and arduous process. Would you hire a dentist or a heart surgeon who had never worked on a patient? Of course not, so why trust this important part of your life with someone who has never done a short sale. The outcome of the short sale will effect your credit and financial standings for years to come.
So in short, do your homework, gather your documents and look for a realtor with Short Sale experience.
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