Denver Short Sale Info
In the Denver Real Estate market struggling Homeowners have more options than ever before, and understanding those options should be a top priority. A Short Sale should not be the only choice, however it is a commonly used Foreclosure Alternative for many Homeowners. If you are a distressed Homeowner is is imperative to use every available resource to take control of your situation. Do not suffer the negative effects of late mortgage payments, or worse case a foreclosure. If you are currently delinquent, or struggle to make your mortgage payments, it is imperative that you seek professional advice. The Hightower Team and our References specialize in helping people avoid foreclosure, professionally, confidentially, and most importantly for FREE! Please do not hesitate to call on us, you have options!
If you have recently received a foreclosure notice, time is of the essence. In Colorado The Foreclosure Process has specific dates and deadlines a distressed Homeowner must know and understand. Homeowners facing foreclosure should contact their Mortgage Servicer, The Hightower Team, or a Foreclosure Avoidance Counsulor immediately to discuss their options. Doing nothing is the worst thing a Homeowner facing foreclosure can do.
The Making Home Affordable Program provides eligible Homeowners with (4) options designed to help their situation. The plan was rolled out in February 2009 by the Obama Administration to get the United States economy back on track while helping struggling Homeowners get relief and avoid foreclosure.
What is a Short Sale?
A “Short Sale” (Also referred to as: “Negotiated Settlement”, “Short Pay” or “Pre-Foreclosure”) occurs when a Lender agrees to accept less than the amount owed on the original note or total payoff, as an alternative to foreclosure. If the property is worth less than the amount owed on the loan, even a foreclosure would result in a loss for the Lender. Often a Lender’s bottom line will dictate the benefits of accepting less money in a sale now, versus the cost of the foreclosure process and selling the home as the new owner.
HOW LONG WILL IT TAKE? The Short Sale negotiation process can be lengthy. It may take several weeks to several months for an approval. Many Lenders will have several layers of bureaucracy, insurers, and investors to maneuver through in order to get a Short Sale approved. It is important to be patient during this long process while we handle the situation for you.
MY FORECLOSURE SALE IS SCHEDULED, WILL I HAVE ENOUGH TIME? Maybe – maybe not. Accepting a buyer’s offer WILL NOT automatically stop the foreclosure process. However, many times a Lender can be persuaded to delay the foreclosure to allow an attempt to negotiate the Short Sale. There are no guarantees, but many sellers have been successful.
HOW DO I KNOW THIS WILL WORK? There are no guarantees. No promises will be made. A missed payment means the Lender has the option to foreclosure. Presenting alternatives to the Lender that highlight the benefits of the Short Sale as opposed to moving forward with a foreclosure is part of the negotiating process. We are skilled at what we do, but NO GUARANTEES will be made concerning the Lender’s acceptance of the Short Sale.
WHAT HAPPENS IF THIS DOESN’T WORK? Your house will likely go to foreclosure. A Short Sale is the most viable option after you have exhausted all alternatives while attempting to remain in the home.
CAN I STAY IN THE HOUSE? The key word in “Short Sale” is sale. The purpose of a Short Sale is to get the property sold to avoid foreclosure. This is not a program that will stop a foreclosure and allow you to keep the house indefinitely. If successful, a new buyer will move into the home. During the Short Sale, you should begin making plans to vacate the property.
WHERE DO WE START? A Short Sale requires the Lender to review your financial package. This includes: (2) months of bank statements, (2) months of paycheck stubs, (2) years of tax returns, a complete Financial Worksheet, and Hardship Letter. If you can not produce these items, please notify The Hightower Team and we will provide you with documents that state they are not available. To help your success in a Short Sale, please collect as much of this information as possible, complete a “Financial Worksheet”, “Hardship Letter”, and return them to The Hightower Team.
Free Homeowner Consultation
If you are a Homeowner who is facing foreclosure or simply struggling to make your mortgage payment, The Hightower Team would like to schedule a free consultation to discuss your options. Please provide us your contact information so we can discuss your needs and answer any questions you may have about your situation.
