The Short Selling Method

This editorial is intended for citizens in Mesa, Az who are considering short selling their home or property. The practice of short selling might be slightly different from state to state, or lender to bank or realtor to realtor because the short selling method is fairly abstract at times. If you have weighed all of the options available to you and decided that for your own individual purposes that short selling is right for you, we have laid out a several step approach that shows what a home owner in a tough situation should do. Take into consideration that this is merely a wide-ranging outline for people that are considering short selling their house. Practice due diligence and check with an authority in short selling in your area.

1) A Realtor in Mesa, AZ with short selling knowledge can decide if you, as a residence owner, can gain from the short selling of your residence based on lender rules. Do you presently owe more on your property than the home’s existing market value? A comparable market analysis can be used to determine the market value of the house you intend to enter into the short selling route. Are you, as the seller and primary owner of the house presently behind in payments? Or, do you anticipate falling behind in payments in the future? Lenders now recognize that several factors out of your control can be a factor to your need to consider short selling your residence because of the potential that you might default on your loan. So, the lenders are also open to short selling the home to ward off future problems. Is there a economic hardship that you are currently undergoing causing you to mull over short selling your house? Examples of hardship are:

· Unemployment

· Divorce

· Medical emergency / sudden illness

· Bankruptcy

· Death

2) house owner begins to put together the hardship documents for the lender to evaluate in the short selling process. This may include, but is not limited to; Income Report, Hardship Letter, Copies of Paystubs, copies of bank statements, copies of previous tax filings

3) Real estate professional list the home for short selling purposes to get offers

4) Seller finds an suitable offer contingent on the lender and seller agreeing on the terms of short selling the residence.

5) The offer accepted by the seller is submitted to the bank for approval of short selling the house.Note: Short selling is dependant on a buyer offering to purchase the home. If the seller gets no offers, there is nothing for the lender to review in the short selling practice and the seller will not meet the criteria for short selling the house. Short selling is also dependant on the bank accepting the offer. If the bank chooses to reject the offer, you will not be short selling your residence.

6) When or if the lender accepts short selling proposal, a letter of acceptance is issued and buyer and seller enter into an escrow period.

7) Escrow and the short selling practice are complete when the buyer provides the needed funds for the deal.

Do you want to go to the next step? Free Short Sale Consultation by Short Sale Specialists.

Fred Weaver and Kevin Kauffman, Group 46:10, do daily blog – find it here: Avondale – Foreclosure Short Sale Phoenix