The Secret Short Sales Letter
The best time to choose a short sale is when you owe more on your home than it is worth. Let's say that your home is worth 450,000 and you owe 470,000 then a short sale would be the way to go. Obviously, if you do not have to sell your home, you could wait out the market and hope for a turnaround in real estate values.
If this is not the case then you have 3 options to choose from. One, is to bring money to the table. Say you sell your home for a $10,000 deficit, you would have to come up with that money immediately for the bank. The second choice is to let you property go into foreclosure. Your bank will foreclose on your home and evict you from the premises. They will sell your home to highest bidder at a foreclosure or Trustee's auction. Your third choice is to pursue a short sale. A short sale involves contacting a specialist who will negotiate with the lender on your behalf. The specialist will explain your situation and ask the bank to take less than the value of your home for payment.
In a case where you have a buyer for 240,000 and your loan is for 250,000, you would then explain to the bank that there aren't any buyers willing to pay a higher price. You can continue with a short sale when the lender agrees to the lower amount. In some instances banks will accept a short sale even before someone has made an offer on your house. You can then advertise your property at the lesser amount to make it easier to find a buyer.
One of the great things about a short sale is that they are not complicated, but there is some effort involved on behalf of you and your short sales specialist.
Figure out the true value of your property. Your short sales specialist will do market analysis which will help you to determine what your home will sell for. You can also use the Internet to help you in this process, there are many real estate sites that you can compare listings to help you determine the value of your home. Take into consideration that the market is constantly moving and your value may only be valid for a short period of time.
You must also figure out how much it will cost to close. Items such as a title report, escrow, appraisal, attorney fees, agent commissions, unpaid property taxes etc. may add up to a substantial amount of money.
You have to find out the exact amount of money you owe on your home, include all loans you may have taken out on the property.
Calculate your equity. In a regular case your closing costs and loan should be less than the total value your property is worth. When the opposite is true you can then pursue a short sale.
Be sure you talk to someone who has the authority to make the required decisions. Loss mitigation department at your bank is usually the first step. Lenders do not have to accept your short sale, but most of the time they do because it is in their best interest. Some banks will not take a short sale unless you are behind on your monthly installments. Your lender may not accept short sales so contact them a soon as possible to find out.
Understand where you stand with taxes. Don't low ball this figure. A large amount of taxes can occur as a result of a short sale. Talk to a professional about how much tax you will owe the I.R.S. before proceeding with a short sale. - 23204
If this is not the case then you have 3 options to choose from. One, is to bring money to the table. Say you sell your home for a $10,000 deficit, you would have to come up with that money immediately for the bank. The second choice is to let you property go into foreclosure. Your bank will foreclose on your home and evict you from the premises. They will sell your home to highest bidder at a foreclosure or Trustee's auction. Your third choice is to pursue a short sale. A short sale involves contacting a specialist who will negotiate with the lender on your behalf. The specialist will explain your situation and ask the bank to take less than the value of your home for payment.
In a case where you have a buyer for 240,000 and your loan is for 250,000, you would then explain to the bank that there aren't any buyers willing to pay a higher price. You can continue with a short sale when the lender agrees to the lower amount. In some instances banks will accept a short sale even before someone has made an offer on your house. You can then advertise your property at the lesser amount to make it easier to find a buyer.
One of the great things about a short sale is that they are not complicated, but there is some effort involved on behalf of you and your short sales specialist.
Figure out the true value of your property. Your short sales specialist will do market analysis which will help you to determine what your home will sell for. You can also use the Internet to help you in this process, there are many real estate sites that you can compare listings to help you determine the value of your home. Take into consideration that the market is constantly moving and your value may only be valid for a short period of time.
You must also figure out how much it will cost to close. Items such as a title report, escrow, appraisal, attorney fees, agent commissions, unpaid property taxes etc. may add up to a substantial amount of money.
You have to find out the exact amount of money you owe on your home, include all loans you may have taken out on the property.
Calculate your equity. In a regular case your closing costs and loan should be less than the total value your property is worth. When the opposite is true you can then pursue a short sale.
Be sure you talk to someone who has the authority to make the required decisions. Loss mitigation department at your bank is usually the first step. Lenders do not have to accept your short sale, but most of the time they do because it is in their best interest. Some banks will not take a short sale unless you are behind on your monthly installments. Your lender may not accept short sales so contact them a soon as possible to find out.
Understand where you stand with taxes. Don't low ball this figure. A large amount of taxes can occur as a result of a short sale. Talk to a professional about how much tax you will owe the I.R.S. before proceeding with a short sale. - 23204
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When it comes to pursuing a short sale to avoid foreclosure, getting the right information can be a daunting task. That's why we put together this confidential report for you at short sales wildwood nj
posted by X - Men @ 4:53 AM
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