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Find out if you will qualify for a short sale. A short sale is not for everybody and not all homeowners will qualify for a short sale.

3 Mistakes to Avoid with Short Sales | Gainesville

3 Mistakes to Avoid with Short Sales | Gainesville

Short sale is a very complex process. It is quite confusing to those who are unfamiliar with its dos and don’ts. Many people have a hard time understanding short sale and there are even agents who lack the necessary knowledge and skills to handle short sale transactions.

As given, you will want a successful short sale and to do this, your first priority should be looking for an experienced short sale agent. These agents know exactly how to prevent short sale missteps, and the necessary steps involved with the whole short sale process. The experience they earned will serve as a guide toward a successful Gainesville home short sale.

So Mistake No. 1 is hiring an agent with zero experience. But it’s not good to hire agents with less experience also. What we want here is an agent who has been polished with rough times of handling short sales.

Mistake No. 2 is deeding your home to a buyer. This is not a good option and will never be. The main problem here is that you give up all your rights and lose control over what happens with your loan.

Some buyers will only rent your home out, runaway with the money, and let your home go into foreclosure. Unfortunately, you will still be accountable for your loan and will have to face the court should you want to cancel the loan.

The only way you can avoid this is to deed your home only as a part of a legitimate sale after the short sale has been approved by your lender.

Mistake No. 3 is allowing your buyer to negotiate directly with their lender. When you do this, you are allowing the buyer to have complete control of the negotiation and they may even attempt to negotiate a very low price with your lender. Also, they could provide information to your lender that could complicate any future transactions.

This usually takes time and when the buyer backs out at the last minute, you will not have any other option but to foreclose.

You will have the best chance at a successful Gainesville short sale when you avoid these missteps upfront.

Other Articles to Read:

Bank of Americas Cooperative Short Sale Program

Banks Are Calling Homeowners To Solicit Short Sales

Options To Prevent Gainesville Foreclosure when Unemployed

Do I Have to Pay for the Real Estate Agents Commission?

Call Stephanie Anson today at 352-535-0620 for a confidential phone interview regarding your options.

Please seek legal advice. This information is for informational purposes only.

Contact Stephanie Anson, CLHMS, CDPE, SFR, Realtor®, Anson Properties LLC. Licensed Realtors® in Florida at 352-260-0153 to list your property for sale or to purchase a property in Gainesville, Archer, Alachua, High Springs, Waldo, Keystone Heights, Hawthorne, Melrose, Cross Creek, LaCrosse, Williston, Earlton, Ocala, Micanopy, Newberry, Kanapaha, Haile Plantation, Duck Pond and the rest of Alachua County Florida, Orange County Florida and Seminole County Florida. We are accepting referrals. Gainesville Short Sale Agents

  

Fraudulent Short Sales and Passing the Hardship Test


Fraudulent Short Sales and Passing the Hardship Test

Important Tip: Ensure you have not made any misrepresentations on your mortgage application for your original note, home equity line or second notes. If your income is misrepresented in any way, it may be considered a mortgage fraud. If your hardship letter is not legitimate, please seek counsel from an attorney.

Agents should not list fraudulent short sales as it will put them and their seller at risk. Lenders will eventually require homeowners to submit proof of financial insufficiency, tax returns and wage information.

Fraudulent short sales are rare, but should you be involved unknowingly, make sure to execute a hold harmless agreement. Obtain a draft agreement from your attorney and have the homeowner sign.

Passing the hardship test is the very first part of the qualification process. Evaluate the seller over the phone to determine if the short sale will be viable. Should the homeowner fail the hardship test, the homeowner should agree to take a part of the deficiency or sign a promissory note. But this now depends on the lender.

The Gainesville short sale agents has had strategic short sales approved where cash contributions was not required. But you will not know that first hand, so the seller should agree to help right from the beginning. It’s great if they don’t have to contribute, but what happens when you find out at the end that they are not willing to apportion? It will be a great trouble then.

If unfortunately they don’t qualify and have to leave their home, then there will only be three options available to them: a deed in lieu, foreclosure or a bankruptcy. Ascertain that the seller is not in the middle of a loan modification process while filing a short sale this is because most lenders will not allow these two to be processed at the same time. If the seller’s loan modification has been denied, then you can use some of that document to process for the short sale.

Other Articles to Read:

Bank of America’s Cooperative Short Sale Program

Banks Are Calling Homeowners To Solicit Short Sales

Options To Prevent Gainesville Foreclosure when Unemployed

Do I Have to Pay for the Real Estate Agents Commission?

Call Stephanie Anson today at 352-535-0620 for a confidential phone interview regarding your options.

Please seek legal advice. This information is for informational purposes only.


Contact Stephanie Anson, CLHMS, CDPE, SFR, Realtor®, Anson Properties LLC. Licensed Realtors® in Florida at 352-260-0153 to list your property for sale or to purchase a property in Gainesville, Archer, Alachua, High Springs, Waldo, Keystone Heights, Hawthorne, Melrose, Cross Creek, LaCrosse, Williston, Earlton, Ocala, Micanopy, Newberry, Kanapaha, Haile Plantation, Duck Pond and the rest of Alachua County Florida, Orange County Florida and Seminole County Florida. We are accepting referrals. Gainesville Short Sale Agents