San Diego Short Sales
Tips for Homeowners Seeking a Short Sale
It's a New Year, full of anticipation of how the market will perform. Will interest rates go up? Will politics effect the market? Have we reached the bottom on housing prices? All of the answers remain to be seen, however homeowners underwater or unable to make their mortgage payments have the option of short selling their home. Selling a home for less than what is currently owed in mortgage liens against the property is considered a "Short Sale". Here are some helpful tips for homeowners considering a Short Sale:
1) Seek a qualified real estate professional-A real estate professional that has initiated, planned, executed, monitored and closed short sales is a valuable asset to both buyer and seller. An integral part of the process is communication between both the bank or lenders and all parties involved. Agents that have worked Short Sales realize that a seller is distressed. Let a professional agent assist you with selling personal items that are not required to be left behind, schedule showings around you and communicate status updates weekly.
2) HAFA Short Sale Program- The Home Affordable Foreclosure Alternative program may be available to you if you meet the following criteria (HAFA Program):
- You live in the home or have lived there within the last 12 months.
- You have a documented financial hardship.
- You have not purchased a new house within the last 12 months.
- Your first mortgage is less than $729,750.
- You obtained your mortgage on or before January 1, 2009.
- You must not have been convicted of a felony, larceny, fraud, forgery, money laundering or tax evasion within the last 10 years in connection with a mortgage or real estate transaction.
- Less negative effect on your credit score or FICO than foreclosure.
- HAFA provides $3,000 relocation assistance to seller(s) at the close of escrow.
- The deficiency or amount you fall "short" is guaranteed to be waived by the servicer.
