Why Oakley Short Sales with 3 or more mortgages are difficult

By
Real Estate Broker/Owner with Elite Realty Services CA BRE 01121873

Oakley CA – Are you looking to buy a short sale?

Before you make an offer, you need to check and see how many mortgages are on the home. A short sale with only one mortgage is not that difficult. Even an inexperienced agent can often get these approved and sold.

Get my Free, Step By Step Loan Modification Guide by clicking here.

A short sale with 2 loans becomes much more difficult.

You now have to lenders that have to agree with each other. However, an experienced short sale agent can get the two lenders to agree with each other on the short sale. However, when you have 3 or more loans and/or liens, everything just becomes way more complicated.

Most first mortgages will only give $2,500 to $3,000 a second mortgage on a short sale. They don’t have any policies in place on what to give a third position mortgage or lien. And that third position lien holder isn’t going to go away for free. Someone is going to have to give them something in return for them releasing their lien.

That third position lender basically has the right to throw a wrench in the works unless they get paid. They can veto the short sale for any reason. They will only go away when they are either paid in full or accept a lower amount. This is what makes short sales with 3 or more loans so difficult.

The first mortgage, second mortgage, and third position lien fight over the available money. At the end, the first mortgage usually forecloses on the property and the second and third position people get nothing. But, a foreclosure takes a long time and costs money. At the end of the day, everyone ends up losing more than they would have made if they had simply worked together.

This is why we usually avoid short sales with 3 or more mortgages/liens in place.

Thinking about a loan modification?Our Oakley loan modification kit will show you how to reduce your mortgage payment, keep your home, and get back on your feet. Send me an e-mail at ams1rebroker@aol.com to request a Free Copy. Or, click here to request a copy.

Thinking about a short sale? I can help you short sale your property so you can move on with your life. Send me an e-mail at ams1rebroker@aol.com.

I will contact you for a free consultation. When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at 877-843-8300 Ext. 1

Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.

Posted by

Thanks for reading this information,

Adrienne Smith (CA DRE# 01121873)

Adrienne is a Real Estate Broker Associate at Better Homes Realty

Phone: 888-503-2136

Email: ams1rebroker@aol.com

Foreclosure Avoidance Help visit: www.TheProperty-Angel.com

Turning Challenges Into Opportunities Everyday!

View My homes for sale at www.BHRMann.com.

Adrienne Smith specializes in Foreclosure Avoidance Assistance including but not limited to loan modification assistance and short sales in Oakley California. Oakley Loan Modification Help, Oakley Short Sales, Oakley Short Sale Realtor. Oakley CA Short Sales. Oakley Realtor.

Copyright 2011 SFI Marketing Institute, LLC. All Rights Reserved.

 Click HERE www.TheProperty-Angel.com. for a FREE copy of "The Homeowners Guide to Fighting Foreclosre" ( $37.00 Value), and get the tools, tactics and techniques required to battle your bank.  Learn the truth about Loan Modifications, Short Sales and Deed-in-Lieu of Foreclosure.

 

 

Important Notice:  Adrienne Smith, Better Homes Realty, and the Stop Foreclosure Institute are not affiliated  with the government. Our services have not been reviewed or endorse by the government or your lender. Most lenders willingly work with agents on short sales. Why? Because most short sales are beneficial to a lender. If you accept our offer to help you on a short sale, your lender may not agree to a short sale or to modify your loan. We do offer a loan modification kit.

However, the likelihood of negotiating a modification is like everything else in life. It takes work and persistence to convince your lender to modify your loan. No matter what you or we do, your lender may not approve a loan modification.

We do not recommend that you stop paying your mortgage, because this will cause damage to your credit and could cause you to lose your home. Because we know avoiding foreclosure is so important to any homeowner, we recommend that you speak with the appropriate legal or tax advisor before making any decision.

This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing.

You have the option to reject a short sale or loan modification from your lender if it does not meet your approval. If you decide not to go thru with the short sale, then you do not have to pay us our fee. We normally make a real estate sales commission for helping you on a short sale.

The views expressed here are smith's personal views and do not reflect the views of Better Homes Realty.

This information is provided as a courtesy to our viewers to help them make informed decisions.

Comments (1)

Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Interesting.  In my area, MD and VA, real estate licensees are not permitted by law to offer loan modification advice.

Jun 18, 2011 06:52 AM