• Is a Short Sale Right for You?

        Is a Short Sale Right for You?

        Are you in financial distress because of your mortgage? Do you need to get out from under a payment that has become too hard to manage because you’ve lost your employment, suffered numerous medical bills or your ARM has reset?

        If so, you are certainly not alone. Hundreds of thousands of other Americans are in that leaky boat with you.t There’s no easy way out., but you do have options. You should take a look at all of them before deciding what  plan of action to take.
        Options
        • File bankruptcy
        • Let the bank foreclose
        • List your home as a short sale
        • Apply for a loan modification
        • Refinance
        • Contact a credit counselor and get assistance with renegotiation
        • Sell to an investor 


        Bankruptcy has helped some consumers. The courts now have the authority to let you keep your home and either forgive a portion of your debt or modify the terms so you can make the payments. If you’re also buried in medical bills, credit card debt, or other obligations you simply can’t meet, this might be the best solution.
        But… bankruptcy stays on your credit report for up to10 years and could keep you from moving forward in life. In addition, it places some restrictions on your life that you might find very unpleasant. It might not be the best choice for you.
        Foreclosure is another option, but typically the last resort. You can simply quit making the payments and stay there until they knock on the door and tell you the bank now owns your home. For some, this is a chance to live rent and payment free for several months and put away some money for a deposit on a rental home. But again – the effect on your credit rating is dire and lasts for years to come.
        In addition, you run the risk of a huge financial obligation that will follow you around forever. When the 
        bank sells your house at a loss because the market has fallen, they might be able to come back on you to make up the “deficiency” between your mortgage balance and the dollars they collected from the sale of the house. 
        Short Sale on the other hand, could be the best option for you. You list and sell the house for the current fair market value and walk away with no money, but a fresh start. At least, that’s what will happen if you list the house with an agent who is experienced in handling successful short sales.
        In this case, your lender can come back to you for a deficiency in a short sale. This detail is to be negotiated with the asset manager and the lender before you sign the closing papers.
        Unfortunately, many real estate professionals (realtors, negotiators or mediators, title agents) today are lacking the complete knowledge to conduct the negotiations, and the seller is paying the price for that lack of knowledge so the listings that begin as short sales still end up going into foreclosure. Why? Because the professionals involved lacked experience and knowledge.
        Success in a short sale relies on 3 primary areas of expertise: Pricing, Paperwork, and Persistence. Before you list your property, you need to speak with a team of professionals that are skilled in all three areas. 
        If you’re thinking a short sale is the best option for you, simply call the Ask Gina & Company team at 703-574-3478. We are Certified Distressed Property Experts with a successful track record with short sales and can get you and your family moving forward and out from financial distress.