Most of the homeowners don’t know what the bank is looking for in hardship in order to qualify for short sale. In order to do sell your house with higher loan balance than the worth of the house, you can do short sale.
One of my past clients recently came to me and wanted to check whether they qualify for short sale or not. He had mentioned that he has bought another bigger house and now he couldn’t afford payment on both houses. He thought that he would rent his house to cover mortgage payment but the rental payment didn’t cover their mortgage payment and other expenses. Now, he could not afford both house payment and wanted to see if this is hardship or not to short sale his rental house.
Hardship does not only mean that you have loss your job or income got reduced, hardship can be caused by other reasons also like increased expenses, medical expenses, divorce etc.,
Now this family’s hardship had created due to buying another house and cannot afford both payments with his current income. This is also financial hardship. Well some banks will approve it some won’t, it all depends on case by case.
If you are buying another house due to job relocation or moving closer to your job or some other reason which makes sense then the lender may approve the short sale. After checking their reason then I listed the house for sale and received multiple offers with my aggressive short sale marketing and submitted to the bank. After back and forth negotiation, we had received short sale approval from the bank and closed it successfully. We have saved one more family from foreclosure.
If you are thinking about short sale, always work with an experienced short sale agent who knows how to negotiate the short sale with the lender. If you are in bay area and thinking about short sale, contact us for a free consultation to see if you qualify for short sale.
{ 0 comments }
