It isn’t an easy time for so many suffering from not being able to make mortgage payments, however there are things that homeowners can take to get on the road to a speedy recovery.
Things to do to avoid foreclosure
The Top 5 things to do:
- Decide to sell your home as a Short Sale
Actually coming to the decision that a Short Sale is the route you should take to avoid foreclosure is often the most difficult decision any homeowner will make. It’s not easy to leave one’s home and quite often denial will set in before homeowners realize it’s not going to get better anytime soon. Simply hoping that things will get better so you don’t have to deal with it as if to bury one’s head in the sand is never a recommended course of action.
- Hire a REALTORⓇ who knows Short Sales
This can make all the difference in the world on whether your home sale would be a “long” sale or a “short” sale, time wise.
A Short Sale is indeed handled differently than a traditional Real Estate sale. Short Sales require a lot more work than a traditional Real Estate sale and it also requires a REALTORⓇ who is committed and determined to gaining Short Sale approval along with a homeowner’s release of any deficiency balance (balance left on mortgage after the home sells).
It requires getting the correct financials from the homeowner up front. It requires knowing what steps are involved during the Short Sale process and following up to make sure all is moving along efficiently towards Short Sale approval.
Time and time again I hear people refer to Short Sales taking 6 months or longer. When you know what you’re doing, Short Sales won’t take 6 months. 3 months is usually the longest it takes to gain Short Sale approval. I’ve been negotiating Short Sales since 2008 and I’m happy to report on quick approval times and high closing ratios. Quick approval times and high closing ratios are what you need to look for when a Short Sale REALTORⓇ represents you to sell your home as a Short Sale. In fact, a recent Coral Springs Short Sale of mine was approved in just 32 days.
- Communicate with your Lender
Never avoid communicating with your Lender. Silence is not golden when you need your Lender to understand your circumstances. It’s important to communicate with your Lender so they know your particular situation. They will let you knSell home as Short Saleow what your options are going to be and how to go forward. You want to make sure that you have exhausted all of your options to save your home from foreclosure. Perhaps you know that a Short Sale is indeed your choice, then it’s important to advise your Lender of your decision as long as you qualify for a Short Sale.
- Be prepared to provide your financials
Most recent financials that include such things as pay stubs, bank statements, tax returns, financial worksheets and a hardship letter are just a few of the documents that a Short Sale Seller needs to be prepared to provide. Timely submission of any requested document will keep a Short Sale moving along quickly. In fact, all of these documents should be presented before your home is even listed for sale as a Short Sale. I will review said documents to confirm the homeowner is eligible to be considered for a Short Sale.
- Plan to buy a home again
Yes, you heard me! Plan to buy a home again. With the proper planning, you will be in the position again to be able to buy a home again. Pay your bills on time, clean up your credit, save for a deposit and money needed to be a homeowner in order to maintain a home.