I am asked this question quite frequently by Elk Grove homeowners contemplating an Elk Grove Short sale - Will my lender approve a short sale even if I'm not behind in my payments?
The short answer is, it depends on your lender. Some lenders may require that you are behind on your payments before they will consider approving a short sale. I actually am representing a buyer on an Elk Grove short sale and after our offer was submitted to the bank, the bank came back and stated that they would not consider the short sale until the seller was delinquent at least 31 days.
However, many lenders now are approving short sales when the homeowner has never missed a mortgage payment. The homeowner just happens to be in a negative equity position and have a need for the short sale or a hardship in order to sell their home. One way to find out whether your lender will accept a short sale file for approval on a loan that is current is by submitting a short sale file to your lender.
We have closed a couple of Elk Grove short sales now where the sellers were not behind in their payments. One was a job relocation and another was a divorce situation. Both sellers had a hardship and could not keep their homes. We were able to explain this to their existing lenders with our short sale package. We received our approval, closed escrow and helped these sellers not only avoid foreclosure but also help maintain their credit by not having delinquencies on their credit report.
If you are an Elk Grove homeowner thinking about selling your Elk Grove home and you are upside down on your mortgage or behind in your payments, now is a good time to get your home on the market.
If you are a home buyer looking for an Elk Grove home, remember Elk Grove short sales are closing. Just make sure that your real estate agent asks the right questions about the short sale before you make your offer. If you would like a list of the right questions, give us a call at (916) 405-5737 and we will be happy to send them to you!
Remember, the deadline is fast approaching for the Mortgage Forgiveness Debt Relief. 12-31-2012. If you have any questions about this deadline or want to know what your options are on your mortgage, give us a call at (916) 405-5737 or send us a quick email to Info@ModeandDurhaM.com We are here to help!
Here are some quick links to other blogs I have written regarding Elk Grove Short Sales -
How much will a short sale cost me?
Are there credit consequences to a short sale?
Who is eligible for a short sale?
Questions to ask the listing agent?
What is a deficiency judgement?
When is it too late to list your home as a short sale?
Behind on payments - how long until the bank forecloses?
If you are interested in finding out more about the Elk Grove real etate market, buying foreclosure properties or short sales or about financing investment properties, make sure to check out our website at www.FindaHomeinElkGrove.com.
More information on the Elk Grove, California real estate market
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