Even as the housing market has started to come back up, there are still countless homeowners who are stuck in mortgages that far surpass the value of their homes. For these individuals and families, selling your home can be difficult – and it can oftentimes result in having to consider alternatives to the “normal” selling process when attempting to sell your property. One such option is the short sale, but selling your home for less than you owe should include an attorney.
A short sale is the process whereby the mortgage lender will agree to sell your property for an amount that is less than the amount that you owe. Unlike a foreclosure, lenders do not force borrowers to move forward with short sales. Rather, lenders and borrowers will sell the property at an agreed upon price.
In many ways, a short sale can be a much more advantageous process than foreclosure, as it can release you from your mortgage obligation that both avoids the foreclosure proceeding, and reduces the impact to your credit.
Even so, the short sale process still entails a number of moving parts. Therefore, it will be important to have an attorney on your side in order to ensure that your rights are being protected and you don’t skip any of the essential steps.
In fact, speaking with an attorney who is knowledgeable in this area prior to discussing the short sale option with your lender can often be a wise decision. This is because it can help you in determining whether or not you even qualify for the short sale process.
If so, an attorney can work in conjunction with a real estate agent in order to get your home sold in the proper manner. Because short sales must follow certain rules, it is typically not an option to sell your home by owner when choosing this option.
If you owe more on your mortgage than your home is worth, but you need to sell your home, you could qualify for a short sale. If so, you don’t want to move forward without the proper advice. Contact us to determine your next step.