short sale process never benefits the seller. That is why if you have been advised to consider short selling your property, you must carefully think this out first. Here is a short checklist to see if you really are a candidate for a short sale.
Is the house loan is at default status or close to defaulting?
It once was that banks will not think about a short sale should the payments were current, but that is no longer the case. Realizing that other reasons cause a possible default, many lenders are eager to head off long term complications given the chance.
Has your property’s value dropped?
Hard comparable sales ought to establish that the property is worth a lot less than the due balance due the loan originator. This unpaid balance may include a prepayment charge.
Have you fallen on hard times?
Bad purchases such as buying luxury items when they are out of your means do not constitute hardship. Nor does deciding to relocate to the city or to a different home. Hardships may include unemployment or a medical emergency.
Don't you have any assets left?
The lending company will probably want to view a duplicate of the seller's tax returns or perhaps a financial statement. In the event the loan provider finds assets, the lender would possibly not grant the short sale since the bank will feel that the seller has the capacity to pay for the shorted difference. Sellers with assets can still be granted a short sale but sometimes be asked to pay back the shortfall.
Think these questions through. If your answer is yes to all, then short selling your home may be an option for you. If you answered no to any of these questions, then there might still be a way for you to keep your home.
For more help, visit: short sale process
The Is the house loan is at default status or close to defaulting?
It once was that banks will not think about a short sale should the payments were current, but that is no longer the case. Realizing that other reasons cause a possible default, many lenders are eager to head off long term complications given the chance.
Has your property’s value dropped?
Hard comparable sales ought to establish that the property is worth a lot less than the due balance due the loan originator. This unpaid balance may include a prepayment charge.
Have you fallen on hard times?
Bad purchases such as buying luxury items when they are out of your means do not constitute hardship. Nor does deciding to relocate to the city or to a different home. Hardships may include unemployment or a medical emergency.
Don't you have any assets left?
The lending company will probably want to view a duplicate of the seller's tax returns or perhaps a financial statement. In the event the loan provider finds assets, the lender would possibly not grant the short sale since the bank will feel that the seller has the capacity to pay for the shorted difference. Sellers with assets can still be granted a short sale but sometimes be asked to pay back the shortfall.
Think these questions through. If your answer is yes to all, then short selling your home may be an option for you. If you answered no to any of these questions, then there might still be a way for you to keep your home.
For more help, visit: short sale process