Home : Blogs : Fernando Herboso Real Estate Maryland, DC and Virginia : Fernando Herboso-Real Estate in Maryland

SHORT SALES in MARYLAND

Are you considering a short sale?. .well, let me tell you about short sales and what you should consider from your bank's perspective. If you have a hardship, you are almost there. Negotiating a short sale is like waiting on line at the post office with one person behind the counter and 3 others taking a break in the back. . while your kids are waiting for you at the parking lot in the car fightning and screaming at you!

If your negotiator isn't talking to you. .perhaps this maybe the reason. .

Understand that lenders maybe willing to take homes to foreclosure because usually these loans have insurance that covers a percentage of the loan. . .So if they take property to foreclosure they only need to recoup a few cents to the dollar allowing their nsurance to cover the rest for them. . . essentially, they are receiving a lot more money than accepting a short sale from you.

For a free consultation if a Short Sale is an option for you, please contact me directly by email to: Fernando@ReallyNiceHomes.com

We assist people with Short Sales in the State of Maryland and Virginia

WWW.REALLYNICEHOMES.com

More Information About Short Sales Maryland

Before you consider a short sale, you should have a pretty good idea what is the short sale process and your role as the seller in a short sale transaction. Although all lenders have different demands that a borrower must submit in a wide array of documentation, the following steps will give you an idea of what to expect.

Call Your Lender First:

You may need to make a few phone calls before you find the person responsible to make a decision in accepting loan modifications. Your first priority should be to speak with your lender and ask them to reduce the rates or convert your present loan to a fixed rate.

Your first priority before putting your property in a short sale situation should be to try and save your home.

When a foreclosure is eminent, a short sale is a good option if you have a hardship.

What are the reasons you can’t pay your mortgage payments anymore?

You must have a hardship. .

then

Submit Letter of Authorization:

Lenders typically do not want to disclose any of your personal information without written authorization to do so. If you are working with a real estate agent that specializes in short sales, they should have a standard letter of authorization for you to sign. The letter should include the following:

Property Address
Loan Reference Number
Your Name
Your Social Security Number
Your Birth Date
The Date
Your Agent's Name & Contact Information

Preliminary Net Sheet HUD-1

This is an estimated closing statement that shows the sales price you expect to receive and all the costs of sale, unpaid loan balances, outstanding payments due and late fees, including real estate commissions. Although your agent should help prepare this form with just the assistance of an attorney ( and no involvement from your part). . This is the single most important part of a short sale. A HUD-1 can make or break a short sale negotiation.

The Hardship Letter

The sadder, the better. This statement of facts describes how you got into this financial situation, where you can no longer make your mortgage payments. It must be short and detailed. Losses of a job, sickness, divorce, death of a family member, all of these are good causes of a hardship.

Just remember that lenders are not particularly empathetic to situations involving dishonesty or criminal behavior.

Proof of Income and Assets

Be truthful and honest about your financial situation and disclose all assets. Lenders will want to know if you have savings accounts, money market accounts, stocks or bonds, cash or other real estate or anything of value. Remember also, all major transactions where cash has been moved will need your explanation. Lenders aren’t looking to take all your money . . .they just want to be assured that you aren’t able to afford your property.

Comparative Market Analysis (CMA)

Your Agent should help prepare a CMA. The bank wants a pretty good idea how upside down you are. The Lenders will make a decision to accept the short sale based on your hardship letter and the CMA of your home . . . and NOT in how much you owe.

Now, if everything goes well, the lender will approve your short sale. As part of the negotiation, your agent might ask that the lender not pursue a deficiency of judgment against you. . But realize that the lender is under no obligation to accommodate this request.

Ultimately, a short sale will only become successful when you have chosen the right person to represent you. This person should be picked carefully. There are a lot of pretenders out there. I usually involve my clients so much in the process of a short sale that they end up “knowing” more about short sales that the typical agent out there.

short sales in maryland dc and virginia Fernando Herboso & Associates are CDPE certfied:

" CERTIFIED DISTRESSED PROPERTY EXPERT"

MORE INFORMATION ABOUT SHORT SALES

eBOOK : Is a Short Sale An Option For Me? Quick guide to find out if you qualify for a short sale in Maryland, DC or Virginia.

Another blog about SHORT SALES IN MARYLAND

Another blog about SHORT SALES IN VIRGINIA

Another blog about SHORT SALES , how long should I wait to buy?

Another blog about SHORT SALES, FORECLOSURES in Frederick Maryland

Another blog about SHORT SALES IN GERMANTOWN MARYLAND

Another blog about SHORT SALES and FORECLOSURES in Gaithersburg MD

Another blog about SHORT SALES and FORECLOSURES in ROCKVILLE MD

Need immediate help? Call 240.426.5754 right now!
Fernando@ReallyNiceHomes.com
For Sale | Frederick Condos For Sale | Urbana Homes For Sale | Frederick Homes For Sale | Any Germantown Real Estate | Any Frederick Real Estate | Any Montgomery Village Homes For Sale | Any Montgomery Village Real Estate | Any Homes For Sale In Frederick | Any Homes For Sale in Germantown | Any Real Estate in Frederick MD | Any Real estate in Rockville | Any Real Estate In Clarksburg | Any Condos for Sale in Montgomery County | Any Condos for sale in Frederick | Any Condos for sale in Gaithersburg | Any Townhouses for sale in Frederick | Any homes for sale in Frederick | Any Homes for sale in MD | Any Fountain Hills Homes For Sale in Germantown

SHORT SALES MARYLAND

Posted by Fernando Herboso Real Estate Maryland, DC and Virginia on 06/05/2008 08:07 AM

Comments (10)

short sale maryland, short sales, short sales md, short sales secrets, real estate md, real estate in maryland germantown

Originally posted at: Maryland-Real Estate Blog : SHORT SALES in MARYLAND

This post has been included in Maryland Information
Post is included in group: The Art Of Marketing You
Post is included in group: Short Sale REALTORS®
Post is included in group: Realtors®
Post is included in group: Keller Williams 'Rainers
Post is included in group: It's all about them (ThemThem)

10 Comments on SHORT SALES in MARYLAND

JUN

2008

Fernando, you did a great job of descirbing the process! We have many realtors in our office in Minnesota who are pulling there hair out during this grueling process.

Another aspect on short sales that we are finding is that offers are being presented and just sitting there in limbo as the client waits to hear the response from the lender. I think you have to have the stomach for this and especially so when you represent the buyer and their anxieties in the process.

We need a better stable economy to get past this epidemic. The richest country in the world brought down to our proverbial knees. We need better jobs. Better schools. There is so much more i could add but you see where i'm going with this.

FEB

Great description of the process. That CDPE training really shows! That was the best training I've ever received, and we're pretty proud of or training at Keller Williams!

The times have changed, though, regarding mortgage insurance. Many of those companies are nearing bankruptcy if they aren't there already, so lenders are only tapping those wells very discriminantly.

MAR

Nice work! I am looking to set up a small group of "independent broker/agents" in Maryland from different market areas to work together on Short Sales, Buyer Agency and Social Networking. My interest is in Baltimore. Are you interested in participating?

Jim: ShortSalepathways is a good company and we are doing one their referrals in the Maryland region for them. They are very professional and ethical.

Deborah: Is not that I have the stomach to represent sellers in a short sale. . the only reason why I do short sales is because I'm morally obligated to help them. I was part of creating the financial crisis in this country and now. . I'm doing my part to fix it!

Robert: We always need more of what we got to fix our problems .. . now that we have been dealt with a problem that all Realtors can participate and fix . .that is doing a short sale to help keep just one MORE FORECLOSURE OFF our inventory.

Matthew: CDPE is a great organization. I got my designation over a year ago when they were just starting. They gave me the a solid platform to build my short sale systems and help my clients better. I recommend CDPE to all Realtors .

Vito: I'm all ears, I will be glad to participate if it means that I can help Baltimore stop foreclosures from happening..give me a call.

Fernando, great job of clearly outlining the key elements consumers need to achieve short sale success!

MAR

As the short sale expert in your area you are providing a much needed service for homeowners. Thank you for being a proactive agent working with the market.