Should I Do a Short Sale?

A Short Sale is a Smart Sale

• Do you owe more than your property is worth?
• Are you behind on your mortgage payments?
• Was your loan modification denied?
• Are you facing foreclosure?

What is a Short Sale?

A short sale occurs when a Lender agrees to accept less than the balance owed on a mortgage.

Who qualifies for a Short Sale?

Generally, a short sale is approved is approved by a Lender to homeowners who have experienced a financial hardship that prevents them from continuing to pay on their mortgage.

Common Hardships

• Job Loss
• Decrease in Income
• Increase in Expenses
• Divorce
• Medical Emergency
• Serious Illness
• Death of a Spouse or Loved One

Why do Banks and Lenders accept Short Sales?

At first it seems hard to believe that a bank would be willing to see deeply discount the sale of a home until you look at the situation from their perspective. If a bank forecloses on a home, they must repossess it, make repairs, change the locks, and pay for a variety of legal fees. A short sale often costs less than what it costs to foreclose on the home, so the bank has actually saved money.

Another reason is that in this distressed housing market with so many foreclosures, the bank doesn’t want too many foreclosures (or bad debts) on their books. This prevents them from borrowing more money from their resources, so they are unable to give out new loans to increase their revenue streams.

Short Sale Benefits

• Free to list your home! You pay no commission.
• Minimize your credit damage.
• Deficiency and debt relief.

Quick Fact

Did you know that Georgia is a Non-Judicial Foreclosure State? If you are in default on your loan, the bank does NOT need to go to court to begin the foreclosure process on your home. Time is NOT on your side if you are facing foreclosure. ACT NOW before the Mortgage Debt Relief Act of 2007 expires 12/31/2012.