Long before HAFA was unveiled, I was helping Northern Virginia Sellers list and sell their homes as Short Sales. However, with the Home Affordable Foreclosure Alternatives put forth by the United States government, some Northern Virginia home owners are unclear as to whether they can sell their homes short if they don't meet HAFA guidelines. One HAFA guideline in particular that stumps Northern Virginia home owners is that your primary mortgage must be at least 31% of your monthly gross income.
While there is no guarantee that your mortgage holder would approve a Short Sale, I can tell you from my own experience in Listing and Selling Northern Virginia Short Sales, many home owners do have Short Sale success even when their primary mortgage is less than 31% of their gross monthly income.
Many factors must be taken into account by your mortgage holder before approving your Short Sale. Perhaps medical bills have made it harder for you to pay your mortgage. Maybe childcare has become a new expense and you are now living month to month after a new addition to the family.
Each mortgage bank has their own criteria for determining whether or not they will approve you for a Short Sale that is NOT determined by HAFA guidelines. They will read your hardship letter, look into your annual income, your recent paystubs, your recent bank statments, your former tax returns and the purchase price offered by the buyers before making a final decision on whether your Short Sale will be approved. If there is a hardship, chances are good that your Short Sale will be approved.
If you have questions about your specific situation and whether or not you should pursue a Short Sale of your Northern Virginia home, please don't hesitate to call.
Chris Ann Cleland, Associate Broker- Licensed in Virginia, GRI, SFR, Northern Virginia Short Sale Specialist. Affiliated with Long & Foster, 7526 Limestone Drive, Gainesville, VA 20155. To contact Chris Ann, call 703-402-0037 or email chrisann@LNF.com. Or you can visit her website: www.nvarealestate.net.
Header photos taken by Chris Ann Cleland.
The opinions expressed in this post are those of Chris Ann Cleland, not those of Long & Foster REALTORS®.