Short sale definition: Generally, a "short sale" is when the sale price of a property is less than the amount of the mortgage(s) on the property. If the owner cannot afford to pay the short fall, the mortgagee or lienholder must agree to accept less than what is owed to release the lien(s) in order to sell the property.
Short sale example: For example, an Owner took a loan for $450,000 to buy a home. A few years later, the Owner was laid off from his job and can no longer afford the monthly mortgage payments. That same home is now worth only $350,000 and the sale proceeds would not be enough to pay off the outstanding mortgage. In order to sell the home for $350,000, the Owner has to ask his lender to accept only $350,000 in exchange for the release of the mortgage.
Lenders are becoming more and more willing to agree to short sales but the process of presenting the offer to your lender can often be time-consuming and full of delays unless you have an experienced real estate attorney that can guide you through the process.
In addition to providing all of the legal services for selling a home, the Law Office of Janet C. Navarro will also prepare and submit all documentation required by your lender and negotiate with your lender to obtain approval for the short sale.
For more information or to arrange your initial consultation please call
973-784-4298 now or contact us here.