Here is what I often hear:
I can't stand my spouse and want to get a divorce. The only thing holding me back is that we have a house worth less than the mortgage and neither one of us can afford mortgage payments by ourselves. Therefore, we would have to sell before getting a divorce. Please, any suggestion will be helpful. I need to get out of this marriage ASAP.
The answer could very well be a short sale
A short sale can get the house liquidated even if you owe more than the home is worth. In effect, your lender pays commissions and closing costs so you don’t have to.
You have to move on with your life, the house does not have to be a ball and chain. You do not have to live in a loveless marriage or what is sometimes called a “roommate marriage.”
Get rid of that house so you can move on! The short sale can be handled by a professional short sale Realtor in parallel to the divorce proceedings.
What is a short sale?
A short sale occurs when a house sells for an amount short of the full amount owed to the lender. Hence the word “short” in short sale.
What happens to the difference between what is owed and what the lender gets?
In an ideal short sale, the shortage is forgiven and the borrower never has to pay it back. Yes, in most cases the lender issues a forgiveness of the debt, in writing. Often the forgiven debt is tens of thousands of dollars or even hundreds of thousands of dollars. Please note that sometimes the lender does not forgive the deficiency, it is on a case by case basis.
So what is the next step?
Your divorce attorney should know about the short sale option and its benefits in a divorce situation. You should also research who is the best short sale Realtor in your city, who has successfully closed the most short sales and knows how to handle short sales in divorce situations.
In Louisville, KY and surrounding counties call Dave Halpern, Real Estate Broker, Louisville Short Sale Expert. I personally answer my phone (502) 664-7827 and will spend all the time you need to clarify all your questions and concerns. Please review my “Divorce and Short Sale” website for benefits specifically in a divorce situation.