A short sale is a transaction that occurs when the loans against a property are greater than what the property can be sold for. It is a way for homeowners to avoid foreclosure on their homes and still be able to pay off their loan by settling with lender.
In control of the sale, bank just needs to approve it.
Knows who is buying his home.
Will be away from the social stigma; foreclosure.
The home sale will be handled like any other home sale.
Exits the mortgage liability without facing bankruptcy.
On the other hand the buyer gets the home at a reduced price. And the lender accepts to a loss it considers minimal without going through a foreclosure.
Short sale often lowers your credit score by as much as 200 points which can be overcome more quickly than a foreclosure, especially if you manage to retain one or two credit cards and keep them current.
The process can be complicated and can take longer than the parties would like. It is so important for a homeowner to contact a short sale expert when they are aware that they are in trouble to get the process started.
A Realtor can help homeowners by working with their lenders to negotiate a lower payoff amount in order to price their homes below competition and get it sold. Also he can market your home to attract buyers and oversee the entire sales process.
How to Find a Short Sale Specialist?
Search for agents with the CDPE designation on the site www.cdpe.com
Call the local agents you find who specialize in short sales. Ask them about their strategy on setting the right price.
Request a list of past clients of the agent you are interviewing. Call these clients and ask them about the service they received.
Dan Rube; An Experienced San Diego short sale Realtor. Check www.sdlistinghomes.com for more info.