Is a Short Sale Right For You?
Quick Q & A for Short Sales
1. What Is A Short Sale?
The sale of a property upon agreeable conditions for what is worth and not for what's its owed
2. Why Would A Lender Agree To A Short Sale?
To save money and time, typically a short sale will net the lender more money than a lengthy foreclosure with hired attorneys
3. Why Would A Seller Agree To A Short Sale?
To avoid a foreclosure and possible an deficiency judgment
4. What Must A Seller Do To Prepare For A Short Sale?
Speak to their lender and hire and experienced short sales real estate agent
5. What Is The Short Sale Selling Process?
Submittal of all collaborating documentation about the homeowners case, put the property in the market, obtain an offer and acceptance and closing/ read new guidelines below. .
6. What Are The Qualifications For A Short Sale?
You home must be worth less than what is owed and in most instances,. You must have a qualified hardship
7. What Constitutes Hardship?
A hardship is an involuntary situation where your bills exceed your total monthly income.
8. What Does Not Constitute Hardship?
Your home losing value
9. How Is A Short Sale Different From A Normal Sale?
For a short sale you need an approval from your bank. .in a normal sale you don't
10. What Are The Consequences Of A Short Sale?
Your credit rating may be affected for at least a couple years or more
11. Which Is Better, Foreclosure or Short Sale?
A short sale has a better outcome for the homeowner. Possible 24 months for a short sale to recuperate vs. 7 to 10 years from a foreclosure.
This are general answers. .short sales are like snow flakes. .they are all different!