Considering a short sale?
If you are concerned your home might go into foreclosure and you have not been able to complete a loan assistance program, then a short sale may be appropriate for you.
If you want to sell your house but it’s worth less than the amount remaining on the mortgage, a short sale may allow you to sell your house and settle your mortgage debt.
By completing a short sale rather than allowing your house to go through foreclosure, you avoid eviction and your house will not be sold at a public sale or auction. Plus, depending on your circumstances, you could qualify for financial assistance to help with relocation costs.
Home Affordable Foreclosure Alternatives (HAFA)
By selling your house in a HAFA short sale, as opposed to the traditional short sale process, you get a number of benefits.
The Home Affordable Foreclosure Alternatives (HAFA) program was developed to give homeowners a way to settle their mortgage debt without going through a foreclosure.
The goal of this program is to help you sell your home in a short sale and settle your mortgage debt if you owe more on your mortgage than your house is worth and are unable to qualify for a home loan assistance program.
This federal government program streamlines the short sale approval process and offers financial assistance to help you with relocation.
Traditional Short Sale Process
The goal of a short sale is to help you avoid foreclosure if you are no longer able to remain in your home. In the short sale process, you sell your home and settle your mortgage debt for less than the amount that you owe.
You may be eligible to sell your home in a short sale, if:
(1) You have a hardship, such as a job loss, divorce or medical emergency
(2) You owe more than your house is worth
(3) You’re unable to afford your current monthly mortgage payment
(4) You’re unable to modify your current home loan
How will a short sale affect my credit?
A short sale generally takes less time to complete than a foreclosure, so your reported delinquency could be shorter than it would with a foreclosure. As a result, your credit will likely improve faster than it would if your house goes to foreclosure.
As we work with you to complete a short sale, the bank will continue to report the status of your account to the major credit reporting agencies. If a short sale is completed on your property, the bank will report that your loan was “paid in full for less than the full balance.”
You should only consider a short sale after you’ve explored all other options, including modifying your loan.
How to start a Short Sale process
Contact Randy Stoker today at 530-632-0094 for a confidential review. Short Sale transactions can take longer than traditional sale transactions; please call Randy Stoker for immediate action to sell your home.