This article is intended for people in Mesa, Arizona who are considering short selling their home or property. The process of short selling might be slightly different from state to state, or lender to lender or realtor to realtor because the short selling process is fairly abstract at times. If you have weighed all of the options available to you and decided that for your own individual purposes that short selling is right for you, we have laid out a multiple step approach that shows what a home owner in a tough situation should do. Bear in mind that this is only a general outline for people that are considering short selling their home. Practice due diligence and consult an expert in short selling in your area.
A Realtor in Mesa, AZ with short selling experience can determine if you, as a home owner, can benefit from the short selling of your home based on lender rules.
Do you currently owe more on your property than the home’s current market value? A comparable market analysis can be used to determine the market value of the home you intend to enter into the short selling process.
Are you, as the seller and primary owner of the residence currently behind in payments? Or, do you anticipate falling behind in payments in the future? Lenders now understand that several factors out of your control can contribute to your need to consider short selling your home because of the potential that you might default on your loan. So, the lenders are also open to short selling the home to ward off future problems.
Is there a financial hardship that you are currently undergoing causing you to consider short selling your home?
Examples of hardship are:
· Unemployment
· Divorce
· Medical emergency / sudden illness
· Bankruptcy
· Death
2) Home owner starts to put together the hardship documentation for the lender to review in the short selling process. This may include, but is not limited to; Income Report, Hardship Letter, Copies of Paystubs, copies of bank statements, copies of previous tax filings
3) Real estate expert list the propert for short selling purposes to receive offers
4) Seller finds an acceptable offer contingent on the lender and seller agreeing on the terms of short selling the home.
5) The offer accepted by the seller is submitted to the lender for approval of short selling the home.
Note: Short selling is dependant on a buyer offering to purchase the property. If the seller gets no offers, there is nothing for the bank to review in the short selling process and the seller will not qualify for short selling the home. Short selling is also dependant on the lender accepting the offer. If the lender chooses to reject the offer, you will not be short selling your home.
6) When or if the lender accepts short selling offer, a letter of acceptance is issued and buyer and seller enter into an escrow period.
7) Escroe and the short selling process are complete when the buyer provides the necessary funds for the transaction.
Do you have questions? Read the Short sale FAQs.
Are you a Realtor? Then get free short sale training by Kevin and Fred at Free Realtor Training on ShortSalePower.com
Another option is always hiring a bankruptcy attorney in Mesa Arizona and seeing if you can keep your home.
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