A
Short Sale is a sale of real property where the net proceeds from the sale are
insufficient to satisfy the total of all mortgages/liens encumbering the
property and where the seller does not contribute sufficient funds to satisfy
said liens. A homeowner, who is facing foreclosure, has an existing first
mortgage of $300,000. You write an offer to the lender for $220,000, which is
accepted as full payment for the loan. This is a short sale. There are so
many fees involved if the property goes to auction, that they would be better
off taking the discount beforehand and be finished with the headache of it all.
A Fort Lauderdale short sale is the only option for most distressed home owners
these days, but there are alternatives.
Some
choices that every homeowner should consider prior to beginning the short sale
process, A Loan amendment is a abiding change in one or more of the terms of a
mortgagor's loan, allows the loan to be reinstated, and results in a payment
the mortgagor can afford. Exercising bankruptcy to stop a foreclosure is
probably the least-understood and least-desired option for most homeowners.
Although it can provide them with the last chance they need to be able to save
their homes. The effect of these liens varies from state-to-state, and some
creditors try to collect on the debts by securing a judgment lien placed on the
property against the homeowner. It is very important to ensure that all liens
are cleared before the closing of the short sale.
The
lender is provided with a Miami short sale package consisting of certain
information and documentation like fully executed purchase contract, Comparative
market analysis (CMA) with supporting sales data, Year-to-Date Income Statement
/Profit and Loss Statement if self-employed, Completed IRS Form 4506-T,
“Request for Transcript of Tax Return, Seller’s personal financial statement, Real
estate listing agreement and Buyer’s preapproval letter or evidence of funds to
close, such as a bank statement etc. document should be prepare to resolve
short sale problem. For new construction, 90 percent of closed sales are cash
transactions, and most international buyers are cash buyers.
Bank
of America has given homeowners facing foreclosure a reason to get out and get
paid with a new pilot program that offers owners up to $20,000 for short
selling homes instead of letting them fall into foreclosure. This pilot program
is only being rolled out in Florida since the state has one of the highest
foreclosure rates in the country. If successful, it could be expanded to other
states. For more information about Miami bankruptcy lawyer and short sale Miami
visit on www.richardadamslaw.com
and fulfill your needs.
