SHORT SALES AND HOW THEY WORK

What is a Short Sale? A Short Sale is when your lender accepts less than what you owe as full payoff of your mortgage. A short sale can be an ideal solution for you. It allows your house to be sold at a reduced price that the bank will accept, a price that is a fair price for the current market. It avoids foreclosure for you and has much less impact on your credit score than a foreclosure. If foreclosure has already occurred and you are in your redemption period, a short sale will allow that foreclosure to be reversed on your credit report. Short Sales can be done before and after the sheriff’s sale. If we are in the process of negotiating the short sale, we can actually get the sheriff’s sale postponed or cancelled while we are negotiating. It also allows us to negotiate with the bank the disposition of the deficiency judgment. Deficiency Judgment is discussed in the Dealing with Deficiency section of this website.

Why will my lender do it?

Lenders accept short sales for many reasons. While your house is in foreclosure, they are not receiving their payments. They also understand that homeowners who are not making their payments are not taking care of expensive maintenance items on the property. Properties start to deteriorate. The cost for the lender to foreclose is high and the foreclosure process in Michigan is long. When they approve a short sale; it gives them a much faster solution on your property. It is a good solution for the lender and a great solution for you.

Who qualifies?

When I negotiate your short sale I have two facts to prove to the bank. Fact one is that your house is not worth what you owe and fact two is that you have a hardship and are not able to make your payments. There are many reasons why a homeowner would qualify for a short sale. Some of the most common ones are: Death of a spouse, Divorce, Loss of job, Reduction in income, Job Transfer, Move out of state, Medical bills, Can’t afford high mortgage payment, New marriage – have two houses, Bought new house haven’t been able to sell old house

What are the benefits?

It allows you to sell your house. It will stop the foreclosure or reverse it if your sheriff’s sale has already occurred. You will not have a foreclosure on your credit report. Has less impact on your credit score than a foreclosure. May allow you to qualify for a new mortgage in 12 – 24 months. Solves your problem. You can sleep at night once again.

How do I begin?

Call our office for a free, no-obligation appointment. All information that you share with us is kept confidential. We will explain our procedure and ask you to provide us with information that your bank will require from you. We will take care of everything. We will submit all information to your lender(s), negotiate with your lender for the very best terms for you and get your house sold. You owe it to yourself and your family to get the facts. Call us today.