Short Sale Process
A short sale is a straightforward process often used as an alternative to foreclosure. When you can no longer afford to make your mortgage payments and are in the brink of a foreclosure, the lender may agree to short sale the property for less than what you owe on the mortgage rather than take the property back and try to sell it after a foreclosure. Lenders often agree to this arrangement because short sales often net them more money than a long and costly foreclosure. Look for an attorney in Gainesville that can help you through the process and prevent a credit damaging-foreclosure mark on your records.
A Gainesville short sale lawyer will be able to handle your short sale case better than any real estate agent or broker. This program is a very complicated transactions that can have significant implications, both legally and financially, which is why it is wiser to find a short sale attorney than rely solely on your real estate broker to handle the entire short sale process.Oftentimes, a short sale is a better route to take than a foreclosure. This is especially true when you intend to obtain a loan for a property purchase in the future. Having the dreaded “F” mark on your credit history will hurt your chances of acquiring loans and will diminish real estate opportunities, unlike a successful short sale. However, this is not to say that a short sale cannot negatively affect your credit rating. Still, it allows you to take control of the sale, instead of leaving the property sale in the hands of your lender.
Eligibility Requirements for a Short Sale
- You have lost your job, been through a divorce, or suffered a medical emergency or some other development that has created a financial hardship
- Your home is worth less than what you owe the lender
- You can no longer afford your mortgage payment
- You are not eligible for a load modification
To find out if you are eligible for a short sale, call The Law Offices of Justin McMurray, P.A. for a free consultation with an experienced short sale lawyer. We will listen to your case and help you explore every option that you may have to stay in your home. If it is decided that every other option has been exhausted, than we recommend contacting a licensed real estate agent to list your home for sale, if you do not know a real estate agent, we can refer you to one. Upon receiving an offer we can start the approval process with your lender and any other debt holders that may be involved (such as a second lender or homeowner or condominium association).
The current real estate market has made the short sale a very common practice, and although you can lose a lot of money from a short sale compared to the purchase price of the property when you bought it, the short sale is usually better than other alternatives. A short sale allows you to escape the heavy financial burden of an upside down home and give you a fresh start in a more affordable living space.
Speaking with a short sale lawyer in Gainesville will help you sort out your situation more effectively and take valuable insights and advise on all the tax and legal implications of the short sale.
Not everyone is qualified for a short sale, but if you owe more than your property is worth and can no longer afford your mortgage payments, you can generally qualify for the program. Unless specified in the program, you will not receive any compensation from the property sale, since the lender is essentially taking a loss on the loan.
Just like a foreclosure, short sale is a long and complicated process that can take several weeks and even months to be approved. This is why it is best to hire a Gainesville short sale attorney to help you through every stage of the process.