Short Sales Amelia Island

By
Real Estate Agent with Berkshire Hathaway HomeServices Chaplin Williams Realty

Short Sale (real estate)

 

A short sale is when a bank or mortgage lender agrees to discount 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 home owner/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 would have the right to approve or disapprove of a proposed sale.

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 home owner, the advantages include avoidance of having a foreclosure on their credit history and the partial control of the monetary deficiency. Additionally, a short sale is typically faster and less expensive than a foreclosure. In short, 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.

 

John Holbrook - Amelia Island Florida

Prudential Chaplin Williams Realty

www.nassaumls.net

904-415-0171

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Tags:
short sale amelia island

Post a Comment
Spam prevention
Spam prevention
Post a Comment
Spam prevention

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainer
4,991

John Holbrook

Ask me a question
*
*
*
*
Spam prevention

Additional Information