What Is a Short Sale for a North Kingstown Homeowner?

Reblogger Ginny Gorman
Real Estate Agent with RI Real Estate Services ~ 401-529-7849~ RI Waterfront Real Estate

What is a short sale for a North Kingstown homeowner?  Short sales, conventional sales, REO sales, Bank owned Property sales, foreclosure sales....a consumer gets lost in the maze of understanding what to do or what to buy in any of these types of sales.  But any homeowner who is struggling to pay their mortgage due to changing personal situations needs to understand that there is a way out other than foreclosure - the important point is not to wait!  As my west coast associate, Melissa Zavala, explains in this post how a short sale can work well for you the homeowner.  As  North Kingstown short sale agents that serves all of southern RI, helping homeowners through this process is part of my business so call me at 401-529-7849 to have a confidential discussion on your short sale option today. 

Original content by Melissa Zavala Cal BRE #01324959

Attention homeowners!

short salesThere is a lot of information in the media right now about the housing market, about the government’s policies and procedures for helping homeowners facing tough times, and about options available when you are having trouble making mortgage payments.

In this short article, I will attempt to clarify one of the options available: a short sale.

A short sale is when a bank or mortgage lender agrees to accept a discounted payoff on a loan balance due to an economic or financial hardship on the part of the mortgagor. This negotiation is all done through communication with a bank's Loss Mitigation department. The homeowner/debtor sells the mortgaged property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender in full satisfaction of the debt. In such instances, the lender has the right to approve or disapprove of a proposed sale.

Extenuating circumstances influence whether or not banks will discount a loan balance. These circumstances are usually related to the current real estate market climate and the individual borrower's financial situation.

A short sale typically is executed to prevent a home foreclosure. Often a bank will choose to allow a short sale if they believe that it will result in a smaller financial loss than foreclosing. For the homeowner, the advantages include avoiding foreclosure on their credit history. And, in the state of California, there are new laws that provide additional benefits to homeowners (Senate Bill 458). Additionally, a short sale is typically faster and less expensive than a foreclosure. In fact, many banks have short sale incentive programs because they realize that a short sale might be the way to go.

In short (pun intended), a short sale is nothing more than negotiating with lien holders a payoff for less than what they are owed, or rather a sale of a debt, generally on a piece of real estate, short of the full debt amount.

Currently, short sales have become increasingly more common with defaulted mortgages on the rise, and a significant number of subprime loans adjusting over the next few years.

A short sale is one of many options available to those who are having trouble making ends meet and are "upside down" on their mortgage. It is the principal option available to those who are unemployed or who have faced a significant decrease in income.

If you are considering listing your home in a short sale, consult with a qualified Realtor® who has significant experience negotiating short sales. This agent's contacts at the bank will go a long way towards resolving your situation as quickly and efficiently as possible.



CDPE, HAFA Certified
Broker/Realtor® ● DRE #01324959
Broadpoint Properties, Inc
Short Sale Expeditor®

If you enjoyed this post, why not connect with me in these other communities?





Broadpoint Properties, Inc is not associated with the government, and our service is not approved by the government or your lender. Even if you accept this offer and use our service, your lender may not agree to change your loan. If you stop paying your mortgage, you could lose your home and damage your credit rating.


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Clint Mckie
Desert Sun Home, commercial Inspections - Carlsbad, NM
Desert Sun Home, Comm. Inspection 1-575-706-5586

Hi Ginny,

I was wondering, If there is a short sale you are involved in. Do you take a reduction for your service fee's?

Or is it treated as any other sale? Nice repost.

Clint Mckie

Jul 27, 2011 12:40 AM #1
Ginny Gorman
RI Real Estate Services ~ 401-529-7849~ RI Waterfront Real Estate - North Kingstown, RI
Homes for Sale in North Kingstown RI and beyond

Clint, if i have both 'sides' of a short sale I have taken less to get it through but it all depends upon the bank.  I have not had a bank reduce my commission at all unless i was in this situation...good question..

Jul 27, 2011 12:45 AM #2
Gerry Michaels
Glasswork Media Arts - Gettysburg, PA
GettysburgGerry Social Meida

In short (pun intended), a short sale is nothing more than negotiating with lien holders a payoff for less than what they are owed, or rather a sale of a debt, generally on a piece of real estate, short of the full debt amount.

Great line Ginny, I usually will refer a short sale to a better qaulified agent as I am not well versed in them. 

Jul 27, 2011 12:50 AM #3
Ed Silva
RE/MAX Professionals, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Ginny, the long and the short of it is that the banks are getting on board with short sales. It maintains, for the most part the value of the property as it is never vacated, and keeps them from putting aside those reserves. My last 3 short sale listings were from bank referrals.

Jul 27, 2011 01:32 AM #4
Katerina Gasset
Get It Done For Me Virtual Services - Wellington, FL
Get It Done For Me Virtual Services

This is a really great post Ginny! Especially for first time homebuyers or sellers, your expertise and experience as North Kingstown Short Sale Agents is what they need if they decide to go on a short sale transaction. 

Jul 27, 2011 02:17 AM #5
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Ginny, Melissa has some great advice on the short sale process, and great re-blog!

Jul 27, 2011 02:32 AM #6
Ginny Gorman
RI Real Estate Services ~ 401-529-7849~ RI Waterfront Real Estate - North Kingstown, RI
Homes for Sale in North Kingstown RI and beyond

Gerry, short sales are becoming a way of life in some areas and my team does them well so we trudge on with the banks with success ...best

Ed, that is very good that the banks are giving you referrals...do not have that happening here to agents...

Katerina, it is about following the steps, having determination & fighting/pushing for your clients..

Joan, Melissa always does a great job on her short sale posts..i agree.

Jul 27, 2011 03:40 AM #7
Anita Clark
ColdwellBanker SSK Realtors ~ 478.960.8055 - Warner Robins, GA
Realtor - Homes for Sale in Warner Robins GA

The key is NOT to wait.  Very thorough post by Melissa and a good reblog choice Ginny.

Jul 27, 2011 05:39 AM #8
Ellen Caruso
Daniel Gale Sotheby's International Realty - Glen Head, NY

Ginny, thanks for reposting a great blog....I had a friend wait too long (as much as I encouraged her) and lost hers. Now I wont allow my sister who's going through a divorce to do the same!

Jul 27, 2011 10:30 AM #9
Melissa Zavala
Broadpoint Properties - Escondido, CA
Broker, Escondido Real Estate, San Diego County

Hey there, buddy. Thanks so much for reblogging my post. See you on Google +????

Jul 27, 2011 02:26 PM #10
Goran Utvic
606 Homes LLC | Chicagoland Brokers Inc, Chicago IL 60656 - Chicago, IL
We Buy & Sell Chicago Houses Fast

Ginny - homeowners experiencing a financial hardship get relief with a short sale

Jul 27, 2011 04:29 PM #11
Bob Hertzog
Summit Home Consultants - Phoenix, AZ
Designated Broker

excellent repost Ginny! As an experienced North Kingstown Short Sale Agents, keeping your readers updated, especially to first timers is very helpful.  

Jul 27, 2011 06:03 PM #12
Ginny Gorman
RI Real Estate Services ~ 401-529-7849~ RI Waterfront Real Estate - North Kingstown, RI
Homes for Sale in North Kingstown RI and beyond

Anita, how can we stress enough NOT TO WAIT!!  best

Ellen, you would give your sis great advice...i see so many issues when a divorce happens...let this be the agreeable part of it and do the short sale...

Melissa, my pleasure & you say it so well...didn't i +1 you!

Goran, short sale does give the relief to the sellers.

Bob, i find the consumer still is confused about short sales so more info out there helps,

Jul 27, 2011 11:23 PM #13
Petra Norris
Lakeland Real Estate Group, Inc. - Lakeland, FL
Realtor, Lakeland FL Homes for Sale

Ginny - A very good reblog as many home sellers North Kingstown homesellers I'm sure still are very confused ofwhat a short sale is.  They are very lucky to have such an experienced North Kingstown Short Sale agent like you.

Keep educating sellers and buyers in North Kingstown and get the word out.

Jul 28, 2011 12:03 AM #14
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Ginny Gorman

Homes for Sale in North Kingstown RI and beyond
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