I have a 2nd Mortgage....Can I still do a Short Sale?

Yes....in fact, most homeowners have a 2nd mortgage as well. In most cases, the 2nd Mortgage Holders realize that they will be wiped out completely if the home were to proceed to a foreclosure. Therefore, most are willing to take a substantial discount in order to release their lien

Do I have to be late on my payments to do a Short Sale?

No... Most lenders/servicers are now allowing homeowners that are current on payments to still complete a short sale. In putting the documentation together for the short sale, we must explain why a sale is necessary, but most do not restrict short sales to only those that are current.

I don't have money to pay a commission....Who pays for this in a Short Sale?

My commission is paid from the lender/servicer that holds the 1st mortgage. In most all cases, the seller is not required to pay anything out of pocket in order to complete a short sale.

Do I have to pay income taxes on the loss?

We do not provide tax advice because we are not CPA's or Tax Attorneys. However, if it is your primary residence, most homeowners will qualify under the terms of the Mortgage Foregiveness Debt Relief Act of 2007. Click here to read about the benefits provided under this act.

Do I have to qualify for a Short Sale based on my situation?

Most homeowners that need to sell, are having trouble making their payments, or are deeply underwater are able to complete a short sale.

Will I still have to pay the property taxes that I owe?

Property taxes that are delinquent are paid out of the proceeds of the Short Sale. This amount is paid out of the short sale escrow to satisfy the County. In most all cases, the seller will not need to contribute financially towards satisfying the property taxes.

There is already a Notice of Default filed on my property....Do I still have time to do a Short Sale and avoid a foreclosure on my record?

Yes.....we have a system in place to generate offers quickly. Most lenders will postpone a foreclosure auction with a properly submitted short sale package and bona fide offer on the property.

How is my credit hurt when I do a Short Sale?

A short sale will hurt your credit, but not nearly as much as a Foreclosure or Deed in Lieu of Foreclosure. Many experts quote an initial drop from 60-80 points when com a short sale is completed. However, this varies considerably with each individual's credit history. In addition, if other items are not being kept current, this will have an impact on credit as well.

I have retirement accounts.....Can my lenders go after this in a Short Sale?

No....lenders are not able touch your retirement accounts in a short sale.

I want to preserve my credit....Is a Short Sale my best option?

A short sale will not "preserve" your credit, but the impact will be much less severe than a foreclosure. By completing a short sale, you are demonstrating that you are doing the right thing for the lender....even under difficult circumstances.

How long will it take until I can buy another home after I do a Short Sale?

With a short sale, most individuals will be able to qualify for a home purchase after 2 years. A foreclosure stays on your credit report for at least 7 years, and will prevent you from purchasing a home for a much longer period of time.

I have additional liens on my property besides my mortgage? Is it still possible to do a Short Sale?

Yes...in most cases the other liens such as HOA, tax, judgements, etc. can be negotiated as well as part of the short sale process.

Is it possible to list my home without a sign in the yard?....I prefer not to let my neighbors know about the Short Sale

Yes...many of my clients prefer to sell their home discretely. We can list your home without putting a sign in the yard. Also, in most cases, we are able to limit the active MLS marketing time from 7-14 days.

How long does the Short Sale process take?

This depends on the lender(s). Some lenders are very efficient and can process short sales VERY quickly....sometimes within a week. Other lenders are very overwhelmed and take much longer.....sometimes up to 6 months. However, we are very efficient and constantly follow up with your lender to make sure your file is at the top of the list. If there is a 2nd mortgage, this will usually increase the amount of time needed to close your short sale.