In a nutshell, a short sale is when a homeowner asks a lender for debt forgiveness. The homeowner is selling their home at a price short of what they owe on the mortgage and is asking the lender to forgive the difference.
The first thing to do when considering doing a short sale on your home is to consult with a real estate attorney and see if there are other options before selling your home as a short sale.
A short sale can help people avoid foreclosure when they are behind on their mortgage and can no longer afford the payments, due to loss of job, credit card debt, medical bills, increased property taxes, divorce, child college tuition, etc
Every lender has different requirements to process a short sale. The basic "short sale package" starting point most lenders will ask for from a homeowner includes.
- A signed and dated handwritten hardship letter explaining their circumstances
- A seller signed an authorization form letting the real estate attorney and/or real estate agent negotiate with the lender on the seller's behalf.
- Two years of most current consecutive tax returns and W-2s.
- Two months of most recent paystubs or proof of income, including unemployment benefits.
- A complete seller financial statement.
- Two consecutive months of bank statements from all bank accounts.
- A signed and date real estate listing agreement showing commissions.
- Signed and dated real estate purchase agreement. An estimated HUD-1 settlement statement giving the lender the net dollar amount
that they will receive at closing. - Additional Information as requested by your lender.
These are some of the most basic things that lenders will ask for. In the last few years, there has been successful getting short sales done in Orange Park and Fleming Island. Short sales usually take 30 - 60 days to close once an offer has been accepted. In some cases, a short sale can take up to 12 months to get completed.
Call me today to set up a time for a free no-obligation confidential consultation.
Robert Schwabe
Orange Park FL Short Sale Specialist
(904) 403-2429
*Robert Schwabe of EXP Realty, LLC is not associated with the
The government and our service are not approved by the government or your lender.
Even if you accept this offer and use our service, your lender may not agree to change
your loan.
If you stop paying your mortgage, you could lose your home and damage your credit.