Short Sale Property

2.8 Million U.S. Homeowners Still Owe More than their Homes are Worth.

It will still take years for some homeowners to reach a positive equity position.

Available Options for Distressed Borrowers:

If you want to keep your property:

  • Refinance
  • Lender workout
  • Forbearance
  • Loan modification

If you can not stay at your property:

  • Sell and bring cash to closing
  • Deed-in-lieu of foreclosure
  • Short sale
  • Foreclosure

 

Call for a FREE Consultation Today!

Frequently Asked Questions (FAQs)

What is a short sale?

A short sale is a form of pre-foreclosure sale and occurs when the mortgagee agrees to accept less than the loan amount to avoid foreclosure.

When does a short sale occur?
  • A homeowner sells their home.
  • The proceeds of the sale are not be sufficient to pay off the mortgage liens.
  • The seller does not have the funds to bring to closing.
Can an owner profit from a short sale?

The seller cannot profit (monetarily) from a pre-foreclosure short sale.

What documents do I have to include in my short sale package?

The Seller must include the following documents:

  • A letter of authorization for your agent to speak with the bank.
  • A preliminary closing statement.
  • A completed financial statement or request for mortgage assistance (RMA).
  • A hardship letter from the seller.
  • Tax returns for the previous two years.
  • W-2s for the previous two years.
  • Payroll stubs for the last 30 days.
  • Two months of bank statements.
  • A comparative market analysis or list of recent comparable sales in the area.
What does a valid hardship letter include?
  • Unemployment
  • Loss of hours
  • Under-employed
  • 50+ mile job relocation
  • Business failure
  • Illness and medical costs
  • Health insurance increases
  • Divorce or death of spouse
  • Increase in mortgage payment
  • Natural disasters
Will banks allow a short sale when the owner has some or a good amount of equity?

If a property has what the lender would consider a substantial amount of equity, chances are they would consider allowing the property to foreclose and then reselling it closer to the retail value.

How long does it take for the lender to foreclose on a house?

Depending on the instrument the borrower used to secure his or her loan as well as on state laws and lender/investor protocol, foreclosure proceedings can occur quickly.

Are You Interested in Exploring the Possibility of a Short Sale?

Our Promise

Customers receiving maximum value for their property as quickly as possible

At Capstone your goal is our goal. When you tell us you want to sell your property, we listen and take on the task of getting it sold as if it was our own property. If you want to purchase a property we apply the same principal. We are here to be of service to your real estate needs and help you achieve your real estate objectives.

Call for a FREE Consultation Today!

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