People tend to refer to Short Sales as being shrouded in mystery – that there is not a lot known about them.  We have heard feedback from a lot of clients and wanted to straighten out a couple of short sale myths that may be floating around out there.  If you currently are in a situation where you must sell your home and you owe more on your home than what it’s market value is (what a buyer is willing to pay and a mortgage company is willing to loan based on your area’s home values), a short sale on your home can be a solution to your problem. Many of these myths have evolved over time, but understanding the reality is a way to help yourself. Seven short sale myths are:

1. Short sales are impossible and never get approved. It is true that short sales are more difficult to get to the closing table – but they are not impossible. A Realtor with knowledge and experience in short sales has the ability to assist someone in such a situation – We, The Shultz Team are short sale specialists in the Ocala area and have extensive training to help homeowners in distress.  Our job is to bring buyers and sellers together on a situation that helps both parties and settles with the banks on your behalf.
2. Banks Don’t Accept Short Sales. This is an interesting one.  Banks are really doing whatever they can to avoid a foreclosure.  Look at it from their perspective – they are business people – do they want a distressed home in their inventory?  Then they will be responsible for maintenance (including the yard, repairs, leaks, vandalism/security, Homeowner’s Association Fees, taxes, etc…) and if the property is already in a distressed condition they will be acquiring someone else’s problems.  They lose more money when it gets placed in their inventory as a bank owned property than if they sell it on the short sale market (which is more appealing to investors and deal-seeking buyers who want more home for their dollar).
3. You must be behind on your mortgage payments in order to negotiate a short sale. In reality, many lenders today focus on verifiable hardship, monthly cash flow shortfall and insolvency – not just people in default.  What does this mean to you?  If you can prove that your current economic situation has changed and there is no possible way for you to afford all of your debts that you may qualify for hardship.
4. Buyers Are Avoiding Short Sales. Contrary to popular belief!  Many buyers are looking for “hot deals” in today’s market.  Many agents report that buyers and especially investors are contacting them looking for short sales and distressed properties (which typically sell less than market value). Short sales are becoming synonymous with a “good deal”, specifically with international buyers and investors.
5. Listing your home as a short sale is embarrassing. There is no shame in doing what is right for you and your family.  Recent estimates state that 1 out of 5 homeowners in the U.S. is in this situation. You are not alone! If selling your home as a short sale is what will help alleviate stress and a burden you cannot afford to bear any longer, then it is the right choice to make.
6. Banks prefer to foreclose a home rather than short sale it. Banks do NOT want to foreclose. Foreclosing on a home is a very costly expense which involves a lot of paperwork, legal fees, court costs and hourly employees to handle the files.  Banks, investors and the federal government have all publicly stated that if a person qualifies for a short sale, then the deal needs to be considered.  It is more costly for a bank to go through foreclosure than a short sale.  If the home has more than one lien on it (a second mortgage or an equity line) then when the home forecloses it becomes the property of the first lien holder.  This is why most second mortgages are willing to “settle” for a lesser amount to remove the lien – if they do not, they are in danger of not getting anything for their investment. Talking to a short sale specialist will help clear up more of this information – feel free to contact The Shultz Team at any time for a consultation.
7. There is not enough time to negotiate a short sale before my property foreclosure. Many lenders today will stall a foreclosure up to the final day of the process, with a legitimate contract and a Realtor who can represent you properly.  You may contact The Shultz Team to discuss what your options are.

Are you facing foreclosure and need to sell your home for a short sale (selling the property for less than what the current mortgage amount is)?  The Shultz Team are experienced Short Sale Specialists and are more than happy to assist you in selling your property under stressful circumstances. With an aggressive marketing plan, great communication and fully staffed office, we are ready to help save your home and credit from foreclosure.  Feel free to contact Art & Brigitte Shultz to discuss your situation and start a plan to save your credit TODAY – the clock is ticking and sooner we are able to assist you, the more likely we are to have a successful closing.

For more detailed statistics or a free market analysis, please call or e-mail us.
Info@TheShultzTeam.com or call us direct at 352-291-1276.

Art & Brigitte Shultz
The Shultz Team
#1 Team at Re/Max Premier Realty
Ocala, FL
Toll Free: 800-243-4087
Direct: 352-291-1276
Info@OcalaVisualTours.com
www.OcalaVisualTours.com
* FREE OCALA MOVING TRUCK WHEN YOU BUY OR SELL THROUGH THE SHULTZ TEAM! *

You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.