Short Sale Frequently Asked Questions

What is a Short Sale?

When lenders agree to do a short sale in real estate, it means the lender is accepting less than the total amount due. Not all lenders will accept short sales or discounted payoffs. Not all sellers nor all properties qualify for a short sale. 

For Sellers

Why is a Short Sale better than a foreclosure?

Typically, a Short Sale is less damaging to the borrower's credit. The former owner can qualify for a mortgage to buy another home in as few as two years, far sooner than if there had been a foreclosure.

Is A Short Sale Right For Me?

Mortgage lenders are increasingly willing to work with borrowers faced with a financial hardship to accept a discounted payoff on a mortgage. If you are faced with a hardship that makes it likely you will be unable to meet your obligation on your mortgage, chances are that your lender would prefer to settle the matter with you as opposed to foreclosing. Contact Diana for a free consultation.

As The Seller Do I Have To Pay Anything At Closing?

No. All expenses and commissions are paid out of the proceeds of the sale. 

Can I Stay In My Home During The Short Sale Process?

You can stay in your home until the Short Sale closes, the same as with a regular sale. 

What If My Home Is Already In Foreclosure?

You can still pursue a Short Sale settlement. Your lender is looking to limit any potential loss on your loan and a Short Sale will benefit him. But it makes it imperative that you Contact Diana right away for a confidential and free consultation. 

For Buyers

Is Purchasing A Short Sale Right For Me?

Purchasing a Short Sale requires patience. The process can take much longer than a normal sale. The buyer must also have their financing in order and make an offer without contingencies. This said, there are some real financial advantages to purchasing a Short Sale. 

Are There Restrictions On Who Can Make A Short Sale Offer?

Yes. The property can not be sold to a relative and not be occupied or repurchased by the former owner. 

If you are a buyer or seller with more questions about the Short Sale process,

please Contact Diana or call her at 904-261-0100.