GENERAL GUIDELINES

 

1.     The homeowner is in default with the mortgage lender.

 

2.     The home owner has little or no equity in the property

 

3.     The homeowner has a legitimate hardship as defined by their bank.

 

HARDSHIP SITUATIONS

 

          -  Temporary or permanent job loss.

          -  A significant cut in pay.

          -  A divorce.

          -  An illness or death in the family.

          -  An increase in property taxes.

          -  An increase in payment due to an ARM resetting.

 

           There are a number of things that help in applying for a short sale with a lender.  For example: if a homeowner realizes that he will not be able to continue making his payments, it is in his best interest to contact the lender with this information before he actually falls behind in his payments. This shows good faith on the part of the borrower.  If the homeowner has put his home on the market with a real estate company before he talks to the lender, the lender, in many cases, will consider the property  for short sale on the then listed property.

 

          In applying for a short sale on a property, there are a number of questions that need to be answered regarding the borrowers

          financial condition which  must accompany the application.  These have to do with the borrower’s current financial situation such as job status, marital status, debts, legal judgments and other personal information as well as correspondence received from the lender.

 

          In our opinion, it is prudent to contact a knowledgeable real estate professional to help borrowers navigate this sometimes complicated process.  We find that the timing of the application and its completeness upon presentation is paramount to achieving the cooperation of the lender.

 

          Many people contemplating a drastic step, such as a short sale, experience a number of emotions.  Embarrassment, exposure and fear are but a few.  These are natural feelings and for many of us, difficult to deal with, especially when ones situation is so public.  We think it is prudent to take the longer view of this situation.  With so many hardworking individuals losing their jobs or being affected by the economic downturn, literally millions of homeowners, country wide, find themselves in the same delicate situation. We find it very sad.

 

          Should you need more information on this subject, we would be pleased to assist.  There is of course no cost or obligation.  800-660-0903

 

          The Schaller Family Realtors, Lil, Kane, Aimee and Don