Philadelphia Short Sale

Short Sale Option

For the last few years, have you noticed that the television does not have endless programs showing you how to make money from your property?  Now they are all showing you how to make the most of your home. The property ladder is now going back for the most part, to people buying their houses to live in, not mortgaging themselves to the hilt in order to make a fast buck.

This is also because the numbers of people in trouble with their loans and mortgages is at an all time high.  The recession has taken its toll on us all.  Every day people are either losing their jobs or being asked to cut their hours down.  There are wage freezes and prices seem to go up all the time.  Is it any wonder that more and more people are finding that they have mortgages they can no longer afford.

There are options available when this problem arises, some are more serious than others.  Some will help if you think this is just a temporary problem.  If you think that there is unlikely to be any improvement in the near future, then the solution will be different.  It would be better to avoid foreclosure or bankruptcy as these can both have long lasting repercussions even though they would solve the immediate problem.  Did you know that with foreclosure or bankruptcy, this is put on your financial credit report and stays there for ten years.  This is regardless of whether the debt has been serviced or not.  Imagine trying to buy another house or property if this is one of the first things a future lender sees.

Choosing the short sale is a way that you sell the property and assuming that you have negative equity, (this means that your property is worth less than the amount you owe on it) the bank agrees to a loss on the debt and the whole thing is written off.  It must be stressed that obviously banks do not like these; they are in the business of making money not losing it.  To this end, when you set a market price for your property, it must be realistic but you will have much more chance of the bank agreeing to the short sale, the nearer the price is to the amount of the loan.

You also have to find the buyer with this short sale solution and they will be checked to see if they will be able to afford the mortgage and that they are serious buyers.  With this solution, you can have defaulted once or twice but you can ask the lender not to put that against your record.  This will also allow you to buy another property after just two years.  It would be extremely sensible to get expert advice though, it is complicated and it would be easy to miss something.  An attorney would know the law as it pertains to the state in which you live; there are some differences between states. The sort of loan you have, there are differences if your loan is not FHA approved.  In fact if you ask, they may be able to build in their fee to the debt, if not, they can work out a plan you can afford.  The time and money they will save you will make it worth paying for their expertise.

When you are writing your letter of hardship, be as honest and truthful as you can.  You must demonstrate the hardship which means that you will no longer be able to make the payments on your mortgage now or in the foreseeable future.  Have you lost your job, are you going through a divorce, have you been diagnosed with a debilitating disease.  Again use your expert to help you with the content of this letter.  They will be dealing with the lenders all the time, listen to their advice and use it. There is a long list that deals with hardship and its definitions.  Remember you are trying to attain agreement for the short sale with this letter so don’t complain or moan in the letter, it is not their fault.

Once you and your expert have all the documentation put together in a short sale package which will include setting a price, make sure it is fair and as high as you can realistically go. The banks are not in the business of losing money so the nearer the mortgage figure the better.   You also should take copies of everything that is going to the bank.

There are reasons that the bank may reject the idea, so try and avoid them in the first place.  If the price is too low, they will reject the idea and probably go ahead and foreclose the property, they are going to make sure that they get the best return for their money.  After giving the bank a chance to go through your documentation, check that they have everything they need.  You do not want to wait for ages only to discover that they have gone no further because a document is missing.  If the details of the potential buyers do not pass the banks criteria, they will be rejected and so will your proposal.  Try to make sure that this will not happen.  Your hardship letter does not show enough reason for you to be unable to make the mortgage payments.  Ensure that you have shown little or no assets and that all your income is eaten away by every day bills.  Once the short sale is agreed, you can go ahead, but be sure you know exactly what the agreement is.  Once all the paperwork has gone through, you should ensure you get a letter from the bank saying that you are debt free.

If you have any additional questions or would like to see if you qualify contact a short sale specialist today! 1-877-737-4903

www.Short-Sale-Specialists.com

877-737-4903

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Are you looking for a Pennsylvania short sale Realtor? Look no further! Our  Philadelphia stop foreclosure Realtor provide FREE short sale expert services to homeowners in hardships. Call today to see if you qualify for a short sale! Need a Montgomery County PA Distressed Property Expert in short sales to offer free short sale services? Our Distressed Property Expert real estate agents are here to help, and are Certified or training in the Pennsylvania Home Affordable Foreclosure Alternatives, or HAFA Government short sale program.

Our organization does NOT directly offer short sale or foreclosure rescue services in the state of Pennsylvania. CLICK HERE for more information on our services.

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