Do You Qualify for a Short Sale?
For a Short Sale -one in which the lender allows a property to be sold for less than the amount owed on a 
mortgage because of a borrower's financial hardship- a seller, needs to make a qualifying hardship case to the lender.
Therefore it is important to know what a lender is looking for to determine if you have a qualifying hardship case or not. This will save you time, money, and ultimately your credit.
What are the lenders looking for?
1. A verifiable Financial Hardship- which is a material change in your finances that has occurred between the day you signed your mortgage to today, that has affected your ability to pay - some examples are:
- job loss
- sustained loss of income
- death of a spouse
- suffered illness or injury
- been relocated to another city/state
- interest rate has adjusted, now making your mortgage payment is unaffordable
- to much debt
- business failure
2. A Monthly Shortfall - Use a financial worksheet to calculate your income and expenses, it will show if you have a monthly shortfall -(income-expenses=shortfall).
3. Not Having Assets- The lender will ask you to provide documentation to prove that you do not have any assets to pay the shorted difference. If you do they will sometimes discount the amount that is owed.
Always seek advice before considering a Short Sale. A real estate agent cannot give you legal advice but can let you know what your home's current value is, to determine if you are in fact short. A real estate attorney can guide you through the Short Sale process and protect you from any short sale consequences.
If you would like more information regarding a Short Sale, please contact me by phone/text at (630) 248-6077 or eMail at mmastrolonardo@remax.net
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Thanks for reading my Naperville Illinois Real Estate Blog!
Maria Mastrolonardo, Realtor(R)
RE/MAX of Naperville
Cell: (630) 248-6077
Web: Naperville Area Home Search
eMail: mmastrolonardo@remax.net
I service the towns of: Naperville, Aurora, Lisle, Plainfield, Bolingbrook, Warrenville, Wheaton, Woodridge or other surrounding areas.
