What is a Short Sale?

A short sale is when a lender accepts a discount on a mortgage to avoid a possible foreclosure auction or bankruptcy. As a seller, you are selling the property and the lender accepts what a buyer is willing to pay. The lender will cover the cost of the sale. For example: A homeowner, who is facing foreclosure, has an existing first mortgage of $120,000. The buyer is willing to write an offer to the lender for $95,000. The lender is willing to accept the loss of $25,000 and will pick up the cost of Realtor fees, Title fees ect and will put the property in a condition that a buyer can get a loan on the home. This is a short sale. Why are they willing to take such a discount? Several reasons. First of all, banks do not like excess inventory and bad loans on their books; therefore, if they see an opportunity where they can sell the property, they will do it. Secondly, lenders know they could lose a lot more money if the property goes to auction. There are so many fees , and attorneys 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.  

It is best to do a short sale when the property is in the pre-foreclosure state. Yes, We can sell your home and work with your lender to eliminate you being forclosed on. There are two stages within pre-foreclosure. The first stage being those individuals who are behind on payments and the second stage are those who are behind on payments with a notice of default. In order for this to work properly and for you to successfully get a short sale, you need the help of one of our trained professionals working with you and your lender. 

It does not matter what type of house or condition it's in, all mortgages can be discounted. What matters is that you call and get help before it's to late.  Your confidentiality is important to us, and your not the only one.  Team Advantage GMAC has helped hundreds of people through this process, call us today. 

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If you are thinking of buying a home, selling a home, or want to talk with an expert Real Estate Agent with detailed knowledge of Edinburgh Indiana, Franklin Indiana, Greensburg Indiana, Hope Indiana, Nashville Indiana, North Vernon Indiana, Seymour Indiana and Columbus Indiana Real Estate, please feel free to contact us click here. Simply call us at , or email us at info@go2teamadvantage.com. We'll be glad to talk with you, and help you in all of your Real Estate needs.