Does Your Home Qualify For a Short Sale?

Contrary to popular belief, not all homeowners are eligible for short selling. While this process may help if you can not make regular monthly payments on your mortgage, you must provide the lender with a valid reason why they no longer can these payments. Lenders have their own guidelines for short sales and may have other options if you are experiencing financial difficulties.

What is a short sale?

This happens when lenders can húseigendur to sell their homes and settle for an amount that is less than your current mortgage debt. Lenders usually have a small loss of investment, rather than having to go through the process of closing the forest. When the house is sold, the owners will pay the lender a loan negotiated fee, which is usually the current market value, regardless of the total mortgage debt.

So how to qualify?

Most lenders will agree that one or more of the following situations:

Mortgage Default - If you can not make regular monthly payments due to job loss, death of a spouse, or medical expenses, you can ask the lender a short sale if possible.

Market Value Reduction - If you can prove that the value of your home is not equivalent to what you owe on your home, lenders can accept a short sale.

Bankruptcy - If you file for bankruptcy and all assets including savings, shares and other investments, the lender may allow you to sell the house in a short sale to avoid the closure of forests.

Note that you must send a letter to the lender difficulty for review. You will not qualify for short sale for reasons such as:

Family expansion

Failure to maintain your personal finances

Buying another home

Environment depreciation

Failure to sell your home for the price you expect

When the lender has approved the reasons for help that you can sell your house on the market and consider a short sale.

Hiring a real estate agent who handles this type of sales is a good idea as it will have a better understanding of the market and find the right buyer. You must also hire an attorney experienced in real estate can help you avoid potential hazards.

What are the consequences?

Even if you are able to prevent the closure of the forests involved in short selling is not without consequences.

credit report can report negative information to the preforeclosure process. This may hinder attempts to buy another house, qualify for a car loan or a credit card and other credit services in the near future.

Prior to real estate agents in contact with the experience and experienced attorney who can review your finances and decide if you are the best candidate for short sale. Depending on the debt you have, there are other options including reworking mortgages or put up with mortgage payments were lost over time.