Avoid Foreclosure


If times are tough for you and your family and you're having trouble making your mortgage payments, then you should know about some special options available to you. Whether you lost a job, are dealing with health issues, or are experiencing financial problems, there is a way for you to sell your home and get out from under the debt. You can stop foreclosure by selling your home through a short sale.

One of my professional goals is to be an effective advocate for my clients at all times and assist them in the best way possible within my capabilities. Therefore, when individuals are tormented by their financial problems and can no longer support their mortgage payments, I have been able to successfully help and relieve some of the burdens through a short sale. Contact us today to find out how we can help you avoid foreclosure.

Find out more about short sales…

  • What is a Short Sale?

    A Short Sale is a sale of a home in which the proceeds fall short of what the owner still owes on the mortgage. Many lenders will agree to accept the proceeds of a short sale and forgive the rest of what is owed on the mortgage when the owner cannot make the mortgages payments and is experiencing financial hardship. By accepting a short sale, the lender can avoid a lengthy and costly foreclosure, and the owner is able to pay off the loan for less than what he owes. Selling short is definitely better than foreclosure, as a foreclosure stays on your credit record for ten years.

    If you find selling your house for less than you owe on the mortgage is an option short of foreclosure or bankruptcy, you will want to find an experienced, ethical real estate agent who understands your situation and will act in your best interest at all times. I have negotiated several, successful short sales and truly sympathize with financial problems brought on by unexpected circumstances, and I want to help.

  • What is a short sale request?

    A sale of a home in which the proceeds fall short of what the owner still owes on the mortgage. Many lenders will agree to accept the proceeds of a short sale and forgive the rest of what is owed on the mortgage when the owner cannot make the mortgages payments and is experiencing financial hardship. By accepting a short sale, the lender can avoid a lengthy and costly foreclosure, and the owner is able to pay off the loan for less than what he owes.

  • Why does the short sale process work?

    Your mortgage company runs different scenarios on your property to determine what they will get for a return on their investment. Your mortgage company takes the following factors into consideration:

    1. Current local market
    2. The foreclosure process costs money
    3. They may have to pay realtors costs of up to 6% of the selling price of the house
    4. There are holding costs involved i.e. how long will the house stay on the market
    5. They may have to make repairs on the property
    6. They have to carry property insurance

    For these reasons the bank is sometimes willing to take less that what is owed on a property. The question we ask is “Do they want their money now?” or “Do they want the same amount of money six months from now?”

  • What are some of my other alternatives?

    Our company is not a tax advisor, an attorney, or a representative of your mortgage company. However, some of your other options are as follows:

    1. Sell the property yourself within the allotted time
    2. Hire a realtor to sell the property before the foreclosure sale
    3. Declare bankruptcy. (See a licensed attorney to determine if this is best for you.
    4. Pay off your mortgage
    5. Pay off your back payments
    6. Deed in lieu of Foreclosure
    7. How will this affect my credit?

    Credit history is a very complicated issue. There are many factors that determine your credit rating. When doing a short sale, I make sure that the proper terminology is on the purchase agreement that fully covers my client’s credit. Such terminology consists of forcing the lender to report a full, paid in satisfaction on your credit report for this loan. I also ensure that the lender submits a deletion letter for all late payments (if applicable) at closing which will delete them from your credit report.

  • Can I repair my credit?

    You can repair your credit. There are many different companies that can help you with this process. The cost ranges from $50.00 to several thousand.

  • How long does this process take?

    The short sale process is very quick. The entire process generally takes less than 30 calendar days. However, there are some variables that may speed up or slow down the process. They are as follows:

    1. Some lenders have done much of the preliminary work before we contact them. This work includes an exterior appraisal of the house, and market evaluation. This would speed up the process
    2. Some lenders are very difficult to get in contact with and are not good are returning phone calls. This would slow down the process
    3. Our company will need to gather information as the bank requests it. You will need to provide this information to our company as quickly as possible, or the process will be delayed. The information that we will need to obtain generally includes the following: Bank Statements, Pay Stubs, Tax Returns, Financial Statement, and a Hardship Letter.
  • Detailed Short-Sale Process:

    Step 1: Visit the house or with the client to gather all of the necessary paperwork. Our company will put a for- sale sign in the front yard.

    Step 2: Our company will call the mortgage company, find out the name of the person who is handling the account, and fax the Authorization to Release Information. Depending on the mortgage company, this may take 1-3 business days for the Authorization to be updated into the system.

    Step 3: Homeowner should have finished gathering all of the necessary documentation that we have requested. This needs to be either mailed or faxed to my company.

    Step 4: Our company will contact the Mortgage company to see if they have uploaded the authorization to release and ask them to send all of the necessary documentation to conduct a short sale on the property. At this time the Mortgage Company may order and appraisal or a BPO (Brokers Price Opinion) of the house. Depending on the company this will take between 5 to 10 business days to gather this data.

    Step 10-15: Our company will conduct market research to determine the value of the house and begin to line up investors. Our company will also put together any and all other information that the mortgage company may request. This may or may not include a mock HUD statement, home repair estimate, and a short sale request. The HUD statement is a receipt for a Real-Estate transaction. It shows who is paying what and who is receiving how much money. It will show our company paying all expenses i.e. attorney’s fees, appraisals, taxes, recording fees etc. It will show the homeowner receiving no funds from the sale. The HUD will also show the banks how much they should expect to NET from the sale.

    Step 16: Our company will submit a short sale request to the Mortgage Company. Depending on the Mortgage Company, this process takes 5 to 25 business days to get an answer. Once we have an answer, we will know how we can proceed.

  • How much money will I receive from this process?

    If a mortgage company takes a short sale on your mortgage you will not receive any funds from the sale. The reason is that your bank is going to request a signed HUD statement from the sale. This is a federal form. The mortgage company takes a position that if they are going to take less than what is owed on a property than you should not receive any money from the transaction. If we were to show you receiving no money on the HUD Statement that we provided to the bank, and then we were to give you money, both you and my company would be guilty of fraud.

  • How much money will come out of my pocket in this process?

    None. The bank pays for all escrow fees, appraisal, broker commissions, etc. If any repairs need to be done in the property, the bank will deduct this from the buyer’s offering price. Just as you will not receive any money from this transaction, you will not be out any money as well.

  • Do you have to put a sign in my front yard?

    Yes. We need to create interest in your property. Signs also make it easier for our investors and buyers to spot the house.



These answers are accurate but not guaranteed