FREQUENTLY ASKED QUESTIONSDo I have to be behind on my
mortgage payments to do a short sale? How much will it cost me to do a
short sale on my house? Who pays off my second mortgage? How long does a short sale take? How much money will I get when
my house sells? How long can I stay in my house
if you are doing the short sale? What if I want to move out of my
house before you have completed the short sale? Do I have to pay my back property
taxes if I short sale? What happens if you can’t talk
my lender out of a deficiency judgment? I have other liens on my house
from the IRS and the builder can I still do a short sale? Can
you be sure that my lender will agree to the short sale? How important is it to work
with someone who is experienced in doing short sales? How much will my credit score
be affected by a short sale? How soon should we start the
short sale process? Do I have to be behind on my mortgage payments to do a short sale?No. At one time lenders would tell you that you had to
miss a payment to be considered for a short sale. But times have changed. I
have successfully negotiated a short sale for homeowners who never missed a
payment. Of course, there still has to be a hardship. If you can afford your
current house but just want to get rid of it so you can buy a much larger,
fancier house, then if would probably be difficult to get a lender to agree
to a short sale for you. How much will it cost me to do a short sale on my house?You don’t pay, the bank does. The commissions and all
closing costs are paid by the bank. Who pays off my second mortgage?We negotiate a short sale with your second lender as well.
They are paid off by the sale of your house. We get the first lender to agree
to pay off the amount that the second lender as agreed to take. How long does a short sale take?It depends on the lender. Some lenders are very fast,
while others are extremely slow. The average timeframe is between 2 months –
4 months depending on the lender. However, currently Bank of America is one
of the very slowest and has taken up to 6 months to respond to the request. How much money will I get when my house sells?Your house is worth less than you owe the bank, so the
bank will not allow you to get any money from the sale. How long can I stay in my house if you are doing the short sale?I cannot give you a definite answer. The average time to
negotiate a short sale is between 60 – 120 days. Once the short sale is
approved, the lender normally gives us 30 days to close the sale. You will be
advised of the progress of the short sale negotiations on a regular basis.
So, when it looks like we are about to get the approval, you will have
approximately 30 days to move. What if I want to move out of my house before you have completed the short sale?You can move out at any time. I would request that you
notify me so that I can keep an eye out on the property and make sure that it
is secure and not affected by any of the actions that your lender may take to
get possession of your property before your redemption period is over. Do I have to pay my back property taxes if I short sale?No. The back taxes are paid by your bank when the house is
sold on the short sale. What happens if you can’t talk my lender out of a deficiency judgment?I am usually able to negotiate away all or most of the
deficiency. If I am not able to do this with your lender, then I will try to
negotiate the terms of the deficiency. Sometimes, they will allow a small
additional payment at close to write off the deficiency. Sometimes, they will
accept an unsecured, 0% interest promissory note for a small portion of the
deficiency payable over a very long time to write off the balance of the
deficiency. Whatever the terms are, you have the final decision to accept
them or not accept them. I have other liens on my house from the IRS and the builder can I still do a short sale?Yes. But it will be a lot more difficult. There is more
work to do with every additional lien. And, each lien holder has to agree to
release their lien. My husband and I are divorcing and I and I want to do the short sale but he doesn’t can I still short sale the house?If you husband is on deed and mortgage, he will have to
agree to the short sale and sign all necessary documents. The short sale
cannot be done without his cooperation. Can I do my own short sale?You can, but it will be much more difficult. A short sale
is like a puzzle with many pieces that have to go together correctly. If a
piece does not fit properly, you can still complete the puzzle but the
results may not be as good. There is a process to getting the short sale
approved with the best possible terms. Why wouldn’t you leave it to an expert
who does this every day? Can you be sure that my lender will agree to the short sale?Keep in mind that this whole process is a negotiated
process so I cannot guarantee anything. But my overall success rate is extremely
high – about 90%. How important is it to work with someone who is experienced in doing short sales?I can’t stress enough the importance of working with
someone who does short sales for a living. I have seen far too many
homeowners go into foreclosure because the realtor or company that they were
working with had no real experience doing short sales. You can’t afford to
turn your situation over to someone who wants to learn how to do short sales
using your house as a learning experience. You need an expert. How much will my credit score be affected by a short sale?There is no clear answer to this question. It depends on
many things. If you are current on all your bills and still making your
mortgage payments, your credit score will not suffer greatly. But if you are
behind on all your payments as well as your mortgage, then of course
everything will affect your credit score. But a short sale will have far less
impact on your credit score than a foreclosure or bankruptcy would. How soon should we start the short sale process?As soon as possible. As I said before, your lender is much
more willing to work with us before your house actually goes into
foreclosure. But we can still short sale your house after the foreclosure
while you are in the redemption period. But if you wait until you are 3 – 4
months into your redemption period, you waited too long. There will not be
enough time to get the process completed. How do we begin?Call me today at 248-930-0198. Or fill out the form to the
left and submit it to my office. |
|
|