1. Know who you owe
A short sale has to be approved by any company or person that has a mortgage or lien against your home. That includes your first, second, or even third mortgage lender, your home equity line lender; your homeowners or condominium association; and any contractors who’ve placed a lien on your home.
2. Pick your short sale team
You’ll need to work with a team of short sale experts, like The Hagley Group. Short sales are complex, and it is critical that you make the right choice. The Hagley Group has been successfully negotiating short sales since 2006 with a 100% approval rating.
3. Get your documents ready
We’ll provide you with a list of documents that your lender will need to review and approve your short sale. Once The Hagley Group has the documents we need, we work on getting offers on your home (we are generally in contract within 7-10 days start negotiating. We keep in touch with you and your buyers through the entire process.
4. Expect delays
Despite a federal rule saying banks participating in the federal government’s Making Home Affordable loan modification program must respond to short-sale offers within 10 days, it may take weeks or months for your lender to decide whether to allow you to sell your home in a short sale.. The good news is – The Hagley Group has experience with all major lenders, and we generally have a faster approval time.
5. Anticipate demands
We know how the major lenders negotiate – what they are willing to pay for and what they won’t pay for. We negotiate all this upfront with the buyer so that there are no surprised when we are ready to close the deal. This is just one of the reasons so many folks – including other real estate agents – choose us to do their short sales.
6. Know the tax implications
Make sure you consult with an attorney or a tax specialist to see how this may affect your taxes. The Hagley Group is happy to recommend a lit of attornys and qualified tax professionals.
7. Consider how the short sale will affect your credit and what you must pay
Ask whether your lender will report the short sale to credit-reporting agencies. Having a portion of your debt forgiven may negatively affect your credit score, but a short sale typically damages your score less than a foreclosure or bankruptcy.
Still have questions? Call us today at 925-824-4877. We’re here to help!