What to Expect When Selling A Short Sale House
1. A less severe hit to your credit history than what you'd experience with a foreclosure.
2. You continue to live in your house until the sale takes place.
3. In some cases, banks are offering homeowners cash incentives to do a short sale (to help with sales and moving expenses). Because your credit history won't take as long to recover with a short sale as it would with a foreclosure – an average of two years versus seven years – the short sale option is great for sellers who want to own a home again in the near future. Has your bank already contacted you? Some banks have launched programs to prequalify homeowners for short sales. Through their records and housing data, they identify borrowers on their books who are in negative-equity situations. In this case, some are reaching out to borrowers in an attempt to further streamline the short sale process. This makes it much easier for you, the seller, to proceed with a short sale.
Compiling your short sale package
Short sales require different paperwork than a normal home sale. In some instances, as mentioned above, your bank may have already qualified you for a short sale. In other cases, you and your agent will need to submit certain paperwork to your lender. Your lender then decides whether or not to approve your request for a short sale.Just what goes in a short sale package? Each lender is different, but in general, you will need:
Completed financial statement
Letter of authorization to let your agent speak to the bank
Letter that explains your financial hardship
Two years of tax returns
Two years of W-2s
Last two months of bank statements
Recent payroll stubs or other proof of income
Comparative market analysis or list of recent comparable sales Keep in mind that banks' processes vary, and the above list is a general representation of what many will want to see.
New federal guidelines shorten the wait
In the past, the notoriously long waiting game for short sales deterred many buyers from attempting them. But times have changed. Many banks have streamlined the process and removed the barriers that have hamstrung short sales in the past. Some are even prequalifying borrowers to get the ball rolling faster. In addition, federal guidelines have helped shorten the wait for mortgages owned by Fannie Mae and Freddie Mac. These are great changes for buyers and sellers, because it means there are regulations in place to help shorten the process.
Get In Touch
Share
Community Updates
Los Lagos
Calling all Mexican food lovers! Los Lagos has a wide variety of authentic Mexican food to choose from. Come in and sit down in the large, open dining room with a full-service bar. They offer happy hour drink and food specials that are sure to please!
Community Christmas Meal 2016
The Lake Park United Methodist Church will be hosting a community meal on Christmas day 2016. They will be serving ham and turkey, stuffing, green beans, mashed potatoes, coleslaw, and a dinner roll along with pumpkin or apple pie from 11:30am to 1:30pm at the church free of charge. Don't spend Christmas alone, join everyone at the church for food and fellowship!
Reservations are appreciated, but not required. To RSVP, call or text Cari Wallace at 712-330-6103, Mel Zevenbergen at 712-832-3306 or Marie Matthiesen at 712-240-0939.
The Hutt Bar & Grill
The Hutt may be a newer restaurant in the Lakes area, but they bring a big presence with them. A former owner of the Dry Dock, is the new owner of The Hutt. She has made this restaurant a great attraction to locals and tourists, being open year round. Having traditional american food means The Hutt is appealing to all! Don't miss out on their tasty breakfast during the summer, and their bloody mary's!