Short sales are rapidly surpassing traditional sales in the Chicagoland area. Just a few years ago many agents and seller’s were clueless as to what a short sale really was, and how to complete the transaction. But in today’s market real estate agents and the general public is more savvy about how they work.
A short sale is a sale of real estate in which the proceeds fall short of the balance owed on the property’s loan. In simple terms, your home value is no longer above what you paid for it, so banks may allow you to sell it for the current market value. Seller’s are first encouraged to try for a loan modification, but if that fails, a short sale is definitely a better option than a foreclosure.
Many have heard that short sales are complicated and take months to close. Well, in some cases this may be true, but the process can be simplified when using an experienced short sale real estate agent and a short sale negotiator. Their relationship with the banks allow them to know exactly how to present the offer. They also have the time required to stay on your file to streamline the process.
Who truly qualifies for a short sale may surprise you. It is not just the homeowner’s who have fallen behind on their mortgage payments. In most cases it is anyone showing the financial inability to catch up on their payments or who may fall behind in the near future. The banks will require a “hardship letter” which explains why a homeowner may qualify. It could be due to illness, divorce, job loss, relocation, excessive debt or other similar situations. Bottomline, if you cannot sell your home for what you currently owe on the loan and are suffering from a hardship, it would be wise to seek help. Chances are, you may qualify for a short sale. It is better to find out now, then to wait for the foreclosure to occur.
Chicago Real Estate: If you are interested in a free private short sale consultation or market analysis, visit my website to contact me.