A short sale is the sale of a home for less than the amount due on the mortgage of that home. Shorts sales are usually initiated by homeowners who are in financial difficulty. Short sales are alternatives to having a home lost pursuant to a foreclosure proceeding by the financial institution that holds the mortgage.
Investigate Your Options
Although a short sale is one means of dealing with a home that is underwater, there are other available options. Your first option should be to apply for a mortgage modification. Another option is to enter into a forbearance agreement with the financial institution. A third option would be to litigate issues such as predatory lending, unfair lending practices, mortgage fraud, lack of standing of the lending institution to sue and other affirmative defenses you may have to a foreclosure proceeding. If all else fails you should speak with an attorney that handles short sales to get a better understanding of how they are dealt with in your locality. Thereafter, you should meet with several real estate brokers to find the best broker to help you with regard to your short sale.
Be Realistic Concerning The Value Of Your Home.
Many homeowners can remember, when the real estate market was strong, how much their home was worth. The issue in today’s market is how much will someone pay for your home! In a free market economy, your house is only worth what a buyer is willing to pay for it. Discuss with the real estate broker you hire what he or she feels your home would sell for. Another alternative would be to have a appraisal of your home by a real estate appraiser. (It should be noted your real estate broker will do the appraisal for free and the appraiser will charge you an appraisal fee).
