You've decided to Short Sale your property

  Now what?  You owe more to your lender than you can sell your home for but that doesn't necessarily mean your short sale will be approved.  Be sure to check out the page on this site that explains a Hardship.  You must have experienced a Hardship to qualify for a short sale. If you have questions on this please fill out our form below for a confidential, no cost consultation. 

How Long Will It Take?



 Different Lenders have different policies or guidelines when approving short sales and the approval process timeline will vary as well.  Once your short sale proposal has been submitted to your Lender you can see an approval anywhere from 30 days to 60 days generally, but in some cases it can be longer. 

If there are additional interested parties such as 2nd mortgages, HELOC's (Home Equity Lines of Credit), Mortgage Insurance, HOA (home owner associations ), Mechanic's Liens, Tax Liens etc.  They will also have to approve the short sale. 




This is where your Experienced Professional comes in.  When dealing with multiple entities the process becomes much more complicated and having a Professional that knows how to negotiate with the different entities is a MUST!  We have seen many homeowners hire inexperienced help to their detriment. 






There are a handful of experienced Real Estate Agents and Attorney's that actually know how to represent the homeowner. Yes, we represent YOU and not the BANK.  We have that Experience. With a  Team of Professionals from Real Estate Agents, Attorneys and Accountants you can count on EXPERT service.  Our submitted Short Sales Close! 
 
Stop The Phone Calls - Make a call to your lender and let them know that you are addressing the problem.  Tell them you are putting your home on the market for a short sale.  

Next you will need to sign a 3rd Party Authorization form (which we give you) so that your Lender is authorized to speak with us about your short sale.  

You will need to gather some documents together for us.  Please have these readily available.  The following is a general list of these documents.  As mentioned previously, each lender has different policies and/or guidelines but generally the following documents will be needed. 

A third party authorization

A hardship letter - this letter is from you to the Lender explaining your situation and why you are requesting a short sale.  

Two most recent pay stubs- your last two pay stubs for the primary borrower and the co-borrower. 

The last two years of tax returns for both the primary borrower and the co-borrower. 

A financial statement - A financial statement will be provided to you to document your current assets and liabilities. 

Listing Agreement- A signed listing agreement will need to be submitted to the Lender.  We will provide this for you.

A fully executed Purchase and Sale Offer - We will provide this for your review and signature.

The Purchaser's Pre-Qualification/Pre-Approval Letter - provided by the purchaser's lender OR PROOF OF FUNDS LETTER.

HUD1 Settlement Statement - provided by the escrow company closing the short sale.  This is an itemized statement disclosing to all parties involved all fees being paid through the short sale transaction. 

We will provide additional documentation as necessary including length of time on the market.  Each property is unique and may require additional documentation.   




It is important to have patience!  An important aspect to getting a short sale transaction closed is with regular communication. We have found that keeping you, as well as the buyers agent updated regularly and keeping in contact with the  lien holders regularly, helps immensely with the patience factor.  

The Buyer for your property - Once the lien holders have received the proposed short sale the buyer will proceed with their due diligence.  They will proceed with their inspections and underwriting of their purchase loan. In most cases with the exception of the appraisal.  






Your short sale is approved - The lien holder will send us a Demand Letter when the short sale is approved.  This Demand Letter states all conditions of the approval. At that time the buyers lender should order the appraisal if needed and complete the finalization of the purchase loan.  The escrow company will contact the seller and buyer for appointments to sign the closing documents.  You should expect your closing to be no longer than 30 days after the approval has been given, in most cases.