No, that is not a typo! Banks are now, more than ever offering more incentive for homeowners to participate in a Short Sale. Recently, I have seen Seller’s get up to $30,000 in relocation incentives to participate in a short sale. With all the issues with Robo-signing and the economy still not in a state of full recovery, most national lenders have now decided that maybe short sale is the best option for a homeowner who is in danger of going to foreclosure. With the possibility of almost 12 million people with a probability of going to foreclosure, major servicers are now looking at options to help homeowners avoid foreclosure and offer incentives that were never offered before.
Up until recently most banks only paid relocation on HAFA and FHA short sales. In certain circumstances you could get relocation assistance but it was not the norm. Now it is becoming more and more typical for lending institutions to pay for relocations on other types of loans. My suggestion to agents and consumers that are participating in short sales is to start high and you can always come down from that number. As stated before, I have recently seen sellers getting up to $30,000 in relocation assistance. I have also seen sellers getting $10-15K on a regular basis to participate in a short sale ; in many cases a short sale may be the best option for a struggling homeowner. If you are a homeowner that is curious about a short sale, it is something that you have to qualify for.
A short sale is not based on if you are under water on the value of your home that you will automatically qualify to participate in the program. With a short sale, especially to get a sizeable relocation you have to have a verifiable financial hardship. If you are uncertain with whether or not you qualify for a short sale ask yourself these few questions:
1. Has your financial picture changed from when your loan was originated? Has a
hardship occurred (job loss, curtailment in income, divorce, health issues etc…) that prevents you from paying your mortgage?
1. Has your financial picture changed from when your loan was originated? Has a
hardship occurred (job loss, curtailment in income, divorce, health issues etc…) that prevents you from paying your mortgage?
2. Do you owe more on your house than it is worth in today’s market?
3. Are you behind, or in danger of missing your mortgage payments?
4. Are you in a situation where you really need to sell your home?
If you answered yes to any of these questions, a short sale is certainly an option you should look at to improve your situation. A short sale can help preserve your credit and protect you from serious financial ramifications that a foreclosure could entail.
One more thing that is very important…be sure to work with a real estate agent that is experienced in the short sale process. These are very complex and difficult transactions, you need to have a qualified professional handling the short sale.
This is just a brief description of the short sale process. If you would like more detailed information in reference to a short sale please contact me any time. I can be reached by cell phone 443-783-3928. Or, you may send an e-mail to: moorebrittingham@gmail.com.
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