|
Tom Lyons
|
Short sales for sellers |
Work with our certified short sale experts!
 What is a lender short sale and how does it work? A short sale occurs when the lender accepts a short fall on the principal amount of the mortgage loan to settle the debt in full. In other words the loan balance is larger than the house is currently worth. The lender okays the sale at the lesser amount, rather than foreclose on the current owner.
In 2010-2011 many of the major banks are approving short sales. From the bank's point of view, they'd rather approve the short sale than foreclose on the homeowner.
From the homeowners point of view, applying for a short sale is much more desirable than a foreclosure, since the consequences on the homeowners credit scores are far less with a short sale, then they are with a foreclosure on their record.
Here are the steps involved with a short sale. We can help you with this entire process. We'll do all of the work, with the bank, on your behalf. You do not pay realtor fees. they are paid by the bank.
#1 Verify the value of your property. If you are selling the property through a real estate broker, your broker will provide you with an estimate of market value. If you are selling the property yourself, do your own market analysis of the area and your property.
#2 Add up all the costs of selling the property. If you are using the services of a real estate broker, the broker will provide an estimate of closing costs. If you are selling the property on your own (for sale by owner), call a local title company or real estate attorney and ask, as a seller, what the closing costs will be.
#3 Determine the amount owed against the property. This will be the total of all loans against the property.
#44Do the calculations. Subtract the total amount owing against the property from the estimated proceeds of the sale. On a short sale, this will be a negative number.
#55Contact the lender or lenders. Talk to someone in the customer service department and tell them the situation. They may direct you to a specific department. Talk to a supervisor or manager if possible; this person will have more authority. Request their lender short sale package.
#6 Ask the lender what its procedures are for a short sale. Many lenders will foward a short sale package to you. Some lenders are willing to work with you by reducing the amount owed or making other arrangements. Other lenders will tell you that your debt is your responsibility, one way or the other. We can help you negotiate with the bank if you don't get the answers that you want from them.
#7 We'll help you sell the property and we'll handle all of the work with the bank .... too.
Different lenders have different ways, and guidelines, for handling your short sale. We have experience with most major lenders on how to handle these short sales so that your home does not go to foreclosure. Email me at realestate@tomlyons.com
For 2011 lenders are becoming more open to doing, and completing short sales. In May of 2009 the Federal Treasury started offering financial incentives to lenders for helping homeowners avoid foreclosure by using short sales to help homeowners. Major banks are in the process of streamlining their ability, adding employees and adding experienced people to their staffs, to complete a home owner short sale in a shorter period of time.
As of 4/2010 the federal government has approved a plan to pay banks and homeowners to successfully complete a short sale. For the complete details please click here.
Other homeowner benefits for doing a short sale include:
· A successful short sale stays on your credit for a shorter period of time. (2 years for a short sale … 7 years for a foreclosure, or deed in lieu of foreclosure)
· Your credit scores are impacted less with a short sale. Credit scores are affected approx. 80 points with a short sale …. Where typically a foreclosure or deed in lieu of foreclosure may affect your credit by as much as 150 points.
· Because you can re-establish your credit more quickly, you can then be able to make large credit purchases, such as an auto, or house purchase that much sooner.
 The Tom Lyons Real Estate team is an experienced real estate team that handles dozens of short sales each year. We offer you:
· A team of experienced real estate professionals to help with your short sale at no charge to you. That’s correct. If your short sale is successful, the bank pays all realtor fees. You, the homeowner, pay nothing.
More short sale info for 2011 click here
http://tomlyons.yourkwagent.com/atj/user/AdditionalGetAction.do?pageId=171325Tom Lyons Real Estate Team
925-216-1105
Thank you!!
We were upside down on our house ... we owed more than it was worth. Mr. Lyons went to our bank and worked it out so our credit wasn't affected. He offered outstanding customer service. The most knowledgeable real estate agent that I have ever met!
****Jim C *** Pleasanton *** 7/09
|
