Basic Steps for a Short Sale Transaction
It’s highly suggested that you work with a real estate professional who specializes in short sales and is well qualified to help you with these steps:
1. Complete a property valuation analysis –lenders will only approve a short sale if the borrower owes more than the property’s fair market value.
2. Contact the lender for a short sale application.
3. Collect all of the financial data and other information required by the lender – include a fact-based letter
Detailing borrower’s hardship and current financial situation.
4. List the property for sale.
5. Receive and ratify a purchase contract from a qualified buyer.
6. Send the purchase contract to the lender, along with all of the lender-required documentation (requirements vary from lender to lender).
7. Be persistent, but patient – ideally, it should take 30-45 days for a purchase contract to work its way through the lender’s system, but the process could take longer.
These steps will need to be completed for each lender that is involved and every lender has its own process. Some lenders that are in second position (2nd trust/mortgage) will only start processing their short sale after they’ve received written short sale approval from the first trust. This means that the overall short sale approval process may take twice as long if there are two trusts/mortgages secured by the property.
It is also recommended that you consult with an attorney and/or a licensed tax professional to understand all your obligations relating to a short sale.
We are CDPE (Certified Distressed Property Experts) & know the process VERY well!
For more information about Short Sales, please call me and I will help you better understand a short sale.
Office: 480-240-9724
E-mail: Info@AzExp.com
Or visit our website @ www.HelpingUnderwaterSellers.com to see if you may qualify for any of the new programs you have seen on the news & media lately!
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