Is a Short Sale the Right Option?
Considering to short sale a house can be a scary thought for many homeowners. For some, though, it is the best option to avoid financial disaster. If you have fallen behind on your mortgage payments or are struggling to make the payments, selling your house is a smart decision.
Afraid that you can’t get enough from a sale to pay off what you owe? That’s what a short sale is … the bank agrees to accept less than what is owed. If you have a hardship, such as loss of income, unemployment, divorce, illness, or job transfer, the bank is more likely to consider a short sale and get you out from under an oppressive mortgage.
If you put your house up for sale and a short sale is needed, the bank will have you fill out some paperwork. You will be asked to provide copies of financial statements, pay stubs, and tax forms. You will also be asked to write a hardship letter , explaining why your situation requires the short sale. If you have more than one mortgage, you will have to do this for each one.
Once an offer is made on the property, you must accept the offer and then the lender must accept it. Approval from the bank can come in various ways and might take months, depending on the situation and the lender.
If you think a short sale is needed to sell your house, use a Realtor who is educated in short sales. Work with an agent who has a Short Sale and Foreclosure Resource Certification from the National Association of Realtors.
Posted by: 
Tim Wright
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