Short Sales

Attention Southern NH Home Owners -- We can help you avoid Foreclosure

If you are a home owner facing foreclosure, we may be able to help you through a Short Sale. A short sale describes the circumstances under which a lender will agree to accept less than the full balance of the mortgage. Even if you have a second mortgage or home equity loan you may still be able to do a short sale but the process is considerably more complicated.

Lenders are changing requirements, procedures and qualifications almost daily.  We know how to deal with these changes correctly, making offers more effective. 

If you are a Seller:

Compared to the rest of the country, New Hampshire has fewer REO's or "Lender Owned" homes.  Knowing what homes to make offers on requires experience and expertise.  Conversely, knowing how to properly speak to a financial institution about your current situation can make the difference between getting a deal done quickly and avoiding a major impact to your credit report.

We have Buyers!

Our Buyers are qualified and ready to buy today.  Buying a short sale isn't easy and if you don't know what you are doing you can get yourself and your money, and your credit tied up for years.  We can help you avoid that problem.

We are REO (real estate owned, bank owned) Listing Agents as well as Specialized Buyers Agents giving you a true advantage in todays Market.

Whether your an investor, first time home buyer or ready for a change, let us do the shopping for you, saving you time and frustration. 

If you have any questions or concerns please contact us and let us help you.

Short Sale Primer

Although all lenders have varying requirements and may demand that a borrower submit a wide array of documentation, the following steps will give you a pretty good idea of what to expect. 
 

 • Call the Lender
You may need to make a half dozen phone calls before you find the person responsible for handling short sales. You do not want to talk to the "real estate short sale" or "work out" department, you want the supervisor's name, the name of the individual capable of making a decision. 
 

• Submit Letter of Authorization
Lenders typically do not want to disclose any of your personal information without written authorization to do so. If you are working with a real estate agent, closing agent, title company or lawyer, you will receive better cooperation if you write a letter to the lender giving the lender permission to talk with those specific interested parties about your loan. The letter should include the following:
• Property Address
• Loan Reference Number
• Your Name
• The Date
• Your Agent's Name & Contact Information 
 

• Preliminary Net Sheet
This is an estimated closing statement that shows the sales price you expect to receive and all the costs of sale, unpaid loan balances, outstanding payments due and late fees, including real estate commissions, if any. Your closing agent or lawyer should be able to prepare this for you, if you do not know how to calculate any of these fees. If the bottom line shows cash to the seller, you will probably not need a short sale.
 

• Hardship Letter
The sadder, the better. This statement of facts describes how you got into this financial bind and makes a plea to the lender to accept less than full payment. Lenders are not inhumane and can understand if you lost your job, were hospitalized or a truck ran over your entire family, but lenders are not particularly empathetic to situations involving dishonesty or criminal behavior.
 

• Proof of Income and Assets
It is best to be truthful and honest about your financial situation and disclose assets. Lenders will want to know if you have savings accounts, money market accounts, stocks or bonds, negotiable instruments, cash or other real estate or anything of tangible value. Lenders are not in the charity business and often require assurance that the debtor cannot pay back any of the debt that it is forgiving.
 

• Copies of Bank Statements
If your bank statements reflect unaccountable deposits, large cash withdrawals or an unusual number of checks, it's probably a good idea to explain each of those line items to the lender. In addition, the lender might want you to account for each and every deposit so it can determine whether deposits will continue.
 

• Comparative Market Analysis
Sometimes markets decline and property values fall. If this is part of the reason that you cannot sell your home for enough to pay off the lender, this fact should be substantiated for the lender through a comparative market analysis (CMA). Your real estate agent can prepare a CMA for you, which will show prices of similar homes:
• Active on the market
• Pending sales
• Solds from the past six months.
 

• Purchase Agreement & Listing Agreement
When you reach an agreement to sell with a prospective purchaser, the lender will want a copy of the offer, along with a copy of your listing agreement. Be prepared for the lender to renegotiate commissions and to refuse to pay for certain items such as home protection plans or termite inspections.
Now, if everything goes well, the lender will approve your short sale. As part of the negotiation, you might ask that the lender not report adverse credit to the credit reporting agencies, but realize that the lender is under no obligation to accommodate this request.

The best approach to a short sale is to allow a professional to help you up front. Please contact us for a no obligation evaluation of your situation and market analysis.