What is a Short Sale

What is a Short Sale

 

A short sale is the process in which a homeowner who is in default or near default of their loan petitions their lienholder to be released from their obligation to pay because of a hardship. What makes it a short sale is the balance of the loan is more than what the homeowner would receive for their sale and the remaining balance cannot be funded by the seller.

 

The lienholder or investor reviews the files and determines if the seller actually has a hardship that is impacting their ability to continue with current payments. Simultaneously the seller places the home on the market to be sold with their local real estate professional. Upon execution of a contract between a buyer and seller that contract is sent to the lienholder for final approval. Usually the seller is released from all obligation to the lienholder and will owe no more monies. It's important to speak with your financial advisor to determine if, at all, there's financial ramifications for a short sale. 

 

Clinton, MD Homes for sale and Real Estate Service. Sherman Hardy is your local Real Estate Expert for Washington, D.C., and surrounding areas. You now have free access to Washington, DC Ultimate Real Estate Search Engine! I'm ready to provide you with a custom home valuation if you're considering selling your home. Google or call me today and let’s discuss how I can help you. Sherman Hardy 301-659-5004

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