Home Sellers Needing Short Sale
The first thing to do as a short sale seller…
Look at this as the first step towards improving your current situation. But before you take that first step and list your home for sale, ask yourself if you could keep the home you are in, would you want to.If the answer is “yes” then you are seeking an alternate solution. But if the answer is
”no way, not a chance, not even if they begged me“
Then you have decided to try to sell your home on a short sale with bank approval. The bank will ask you to prove that you have a hardship that forces you to sell. If you do not have a proven hardship, the bank will determine that you are making a strategic decision to default. In that event, the bank is less likely to agree to a short sale forcing you to foreclosure or a deed-in-lieu of foreclosure.
This seems a little counterproductive and vindictive. The process of foreclosure will take longer and ultimately result in a greater loss for the bank. Having a strong professional negotiator in your corner can improve your chances for success. Loss Mitigation Network specializes in negotiating short sales and knows how to get things done. As a seller in a short-sale, foreclosure, or deed-in-lieu of foreclosure, you should consult with a CPA, tax attorney or a real estate attorney. These professionals are qualifed to review your overall financial situation and advise you if any long-term liabilities or tax implications may apply.
After working your way through the process described above, you may finally be ready to list your home for sale. As a seller in a short-sale situation, your goal is to minimize the hit to your credit by avoiding foreclosure. Therefore, accurately pricing your home and keeping it presentable for showings is imperative. You may want to review the strategies I provide to Equity Sellers to see how that relates to you. Know your competition. You should price your home less than an equity seller, but not so low that your lender will refuse to accept a price that is ridiculously below market. Remember that the banks are not stupid, they are mean-spirited and greedy, so act accordingly. The clock on the foreclosure process is ticking, so wasting your time by accepting an offer that has no hope of approval by the bank,only moves you closer to what you are trying to avoid. Make sure you have a Realtor who understands that fine balance.
I also work with buyers and you may find it useful to read Home Buyer Startegies. It is good to see both sides of this market. Remember, the buyer is not the enemy, they are actually enabling you to accomplish your goal by buying the home. They are the solution to your problem.
