Short Sales

With the real estate market changing on a daily basis and the ever-growing number of distressed properties and owners, it takes an aggressive approach in order to close deals. In that regard, our office can be a valuable ally in tackling today’s short sale market. In sum, a short sale is a transaction where a contract for purchase and sale is executed by both the Buyer and Seller for an amount less than the total amount owed on any outstanding mortgages. In many instances, a lender will agree to take less than what is owed on the mortgage in order to allow the sale/ closing to take place and recoup a substantial portion of the loan. Although the Seller will walk away without making a profit, it is clearly a better alternative than facing foreclosure.

A short sale typically benefits all parties to a transaction in that the Seller can avoid a foreclosure and potential deficiency judgments while helping to salvage their credit; the lender can diminish their litigation expenses and will not have to take ownership of the property and try to sell it themselves; and, the Buyer generally obtains a great deal.

It is important to note that the short sale process can be complex and time consuming due to issues which may arise throughout the process, such as association matters, multiple mortgage settlements and/or liens. Also, related laws and government programs are constantly changing as they try and adjust to this market. Therefore, having an experienced attorney and staff negotiating on your behalf helps assure that you will be able to take advantage of these programs and sell your “underwater” property with the peace of mind that you will be free and clear of the property and any corresponding debts at closing.

LIST OF DOCUMENTS REQUIRED FROM SELLERS FOR SHORT SALE REVIEW
  • Copies of Last Mortgage Statement for each mortgage on the subject property
  • Copies of any correspondence from any and all homeowners association and/or their
  • attorneys showing the total balance of the outstanding debt(s)
  • Last two years of Tax Returns signed and dated
  • Last three months of Bank Statements for all bank accounts under borrowers’ name
  • Pay Stubs for the last 30 days (year to date profit and loss if self employed)
  • Financial Affidavit (detailed list of assets and monthly household income and expenses)
  • Hardship Letter
  • Proof of Property Insurance
DOCUMENTS NEEDED FROM REALTORS (LISTING AND SELLING AGENTS)
  • Listing agreement signed and dated by owner and listing agent
  • Sales contract signed and dated by all parties involved with the transaction
  • Escrow deposit(s) or escrow letter(s)
  • A print out of the MLXS history/listing of the property
  • Selling agent contact information and email address