Short Sales FAQ For Sellers
We know that it's highly stressful to be unable to afford your home. If you're considering your options, we recommend looking into short sales as your solution. Lang Premier Properties is experienced with short sales and can make the process as seamless as possible for you.
Lang Premier Properties has partnered with the Bank of America's top short sale vendor, which means we're able to receive approval to short sale your home in as little as 10 days.
What is a short sale?
A short sale is an alternative to foreclosure, in which the lender agrees to accept less than the total amount owed on a property. Lenders may agree to a short sale if the owner has suffered a valid hardship.
Why would a lender agree to that?
Selling a home, regardless of the status, is an expensive and time-consuming process. Foreclosures are even more so, because they follow strict legal procedures. Foreclosures are also a lot messier and have more risks for the lenders, like tenants who stop taking care of the property or flat out refuse to leave. All in all, it's a lot easier for everyone involved to resolve the financial distress via short sale.
What is a valid hardship?
In the context of short sales, a valid hardship commonly refers to job loss, business failure, medical costs from severe illness, divorce or death of a spouse, or natural disasters. If you attempt to short sale your home without a valid hardship, the lender may sue you and your real estate agent for fraud. Please note that Lang Premier Properties can't represent your short sale without a valid hardship.
Who sells the home?
You do! The home owner is responsible for the short sale of the home. Selling a home, even as a short sale, is a rewarding experience. Once offers are received, its up to the home owner to choose the contract that is most likely to be accepted by the bank and submitting it for approval. (Don't worry, we'll help you with figuring that out.)
Do I have to be behind on my payments to qualify?
No, not at all! It's a common misconception that you need to have defaulted on your loan to qualify for a short sale. In fact, your credit will be much better off if you don't. As long as you can't continue to make your current mortgage payments going forward, you can qualify for a short sale.
Speaking of my credit, will a short sale preserve my credit score?
It depends. Short sales can affect credit ratings but the end result is almost always better than a foreclosure. It can be negotiated that the lender won't ding you for the short sale itself, but you're still on the hook for any previously missed payments and other bills.
Does my house need to be previously listed to qualify?
I'm already in foreclosure. Am I out of luck?
No, not always! Call us right away if you are currently going through the foreclosure process. Foreclosures are a long, legal journey and many lenders will still agree to short sale a home that is being foreclosed on. Time is of the essence, so call 1-855-526-4466 immediately.