I was at a coffee shop when at the check register, I looked down and saw a pile of cards that read, “Banks Suck”. I picked up one of those white cards. The words were printed with large black writing in a block type on a glossy white card stock. So I pick one up. After I set down and took a sip on my coffee, I flipped the card over and read the fine print.
The first line on the back stated, “Did you know that less than 25% of Short Sales Attempts actually close.” Then in smaller print was two short paragraphs on why you should have a short sale expert process you short sale. At the bottom of the card was a phone number, email address and a website. The website was ShortSaleByDesign.com.
A short sale is for those people who are struggling to pay your home loan. They may have missed a few mortgage payments. They may of have even received a foreclosure notice.
What a short sale does is allows the home owner to sell their home for significantly less than the mortgage balance. Sometimes, to avoid going through the costs of foreclosure, a lender will sanction a short sale. This lets a buyer purchase the home for less than the mortgage balance while the home is in pre-foreclosure stage.
There are five basic steps for a short sale to be completed. These are;
- Seller signs a listing agreement with a real estate agent subject to selling as a short sale with third-party approval.
- The agent finds a buyer who makes an offer for less than the amount of the mortgage.
- Seller accepts the buyer’s purchase offer.
- Seller’s lender accepts the buyer’s purchase offer.
- Transaction closes when the buyer delivers the funds, the lender releases the lien and the seller delivers the deed.
