What is a short sale?

With the re-blogging feature disconnected at this time, I hope it is ok to cut and paste.  Kudos to Christine & Jennifer for this blog.  I cannot agree more with them.  There are many sellers out there that do think that short sale is a get out of mortgage free card!  NOT!   Thanks for the info!

What is a short sale?

In today's real estate market the term "short sale" is something that we are hearing more and more about.  However, despite the increased frequency of this term, there is still often a lack of understanding amongst the public.

As a team leader for the top producing McInerney Team with Keller Williams Realty in Knoxville TN we encounter homeowners on a daily basis.  During a Buyer's market we have not had the luxury of telling every Seller we meet with that they will be able to make thousands of dollars off of the sale of their home.  In several cases we have come across sellers who will have to bring money to the closing table in order to sell.  This is especially true of homeowners that have owned their home for under 3 years or took out (and spent) large home equity lines of credit. 

When we have to tell a homeowner they will have to most likely bring money to closing they often ask if they should just do a short sale. 

A short sale is designed only for distressed homeowners with a legitimate hardship and is only used as a method to avoid foreclosure.  It is not just a "get out of mortgage free card" or a method to keep home owners from losing money on their home. 

A homeowner that is upside down in their mortgage but does not have a legitimate hardship and can afford to pay their mortgage is not a short sale candidate.  Instead they are just a dissatisfied homeowner who will either have to wait out the market or bring cash to closing. 

Interested in learning more about what a short sale is please click here to view my article "What is a Short Sale?"

For more information about short sales and foreclosure alternatives in and around Knoxville, TN visitwww.KnoxvilleShortSaleSpecialists.com.  Christine McInerney and Jennifer Halinkowski of The McInerney Team of Keller Williams are both CDPE (Certified Distressed Property Experts) and we can help.