How to Do AShort Sale ContentsWhen faced with the danger of foreclosure, Introduction ..……………………………1one ready solution is to sell your home and Estimate of Value..…………………….2pay off the bank. But, what if the FMV, or fairmarket value, is less than you owe? In this Closing Costs………..……………...…...2case, the bank may prefer to forgive the Direct Approach………….…………....2difference in order to avoid higher foreclosure Put Your Best Foot Forward……...3costs. Here is how to go about it.
2Obtain An Independent Estimate Of ValueSpeak to several realtors to try to gauge what your home isworth. If you can afford to pay the brokerage and sign anagreement, then the broker should commit in writing to aselling price. Add Closing Costs to This Again, a broker can assist you with an estimate of these, including brokerages and administrative costs charged by the lender. These may be quite large amounts, so take your time here, and get it right. Approach Your Lender DirectWhat’s does that mean? Explain your situation to an adviser in the customer serviceFor more terms and definitions, department. Discuss the gap between the outstanding loancheck out ForeclosureDeals.com’sglossary page: amount and the net estimated proceeds of the sale. Explain thathttp://www.foreclosuredeals.com/Glossary.php if the bank cannot forgive the difference, the bank may have to go ahead and foreclose. Play your cards right and they may well agree – if so, then you can go ahead and sell.
3 Put Your Best Foot Forward At the SaleForeclosure Deals12550 Biscayne Blvd, Suite 306Miami, FL 33181 On show days, make your house as attractive as possible,FAX: 1-347-402-6620Contact@foreclosuredeals.com and leave negotiations up to the agent. People buy on firstIf it’s not a deal, we won’t list it here! impressions, so make sure that everything is tidy before aFind us on the Web: potential buyer arrives.http://www.ForeclosureDeals.com/ There is always a possibility that you could do a short sale yourself. However, you may not know all the pitfalls, and a good agent should be able to cover their brokerage fee with a better price. This is why an intermediary is always a good idea when selling under pressure. Besides, you could always refuse an offer if the price is below the broker’s estimate.