A short sale occurs when a lender accepts less than what is owed on the mortgage to end the foreclosure process.
Some banks will release only the lien, while other banks will release both the lien and the debt. Short Sale Illinois always attempts to negotiate a full debt release, but it cannot be guaranteed.
All lenders require a complete short sale package, including tax returns, bank statements, pay stubs, etc. to justify your situation.
In some cases you may be liable for the loss, which is called a deficiency. The Mortgage Relief Debt Act of 2007 may protect you from liability on your primary residence. Short Sales Illinois recommends that you consult with an attorney or CPA for more specific information regarding your case.
Yes and no. Lenders may report: Mortgage Settled for Less than Full Balance.” How that affects your credit varies greatly. Any late payment history will still appear, as will any Notice or Default filings (the start of the foreclosure process). What won’t report is an actual foreclosure. In today’s credit market, a foreclosure may prevent you from obtaining a mortgage for at least 5 years, longer than a bankruptcy
This is totally up to the lender. Some lenders take as little as two weeks, some over six months. The only way to know is to start the process.
Due to varying market and financial conditions, it is sometimes necessary to accept a lower offer to consummate the sale. The right price can save time, unnecessary anxieties and avoid the further financial hardship.
In a short sale transaction, the lender will pay for most of the seller’s costs. The fees and costs that are not approved or paid by the lender will be covered by the buyer or a seller credit negotiated by Short Sales Illinois.
No. Short Sales Illinois does not charge the seller for our services. Short Sales Illinois is paid by the lender or the buyer.
Not usually. Most lenders will not allow a borrower to receive any money, although some may allow a small amount back. If they think you are getting paid, they will immediately decline the deal.