how to do a short sale

All posts tagged how to do a short sale

Below please find a link to an actual Short Sale approval letter from Wells Fargo. We have wite out the name of our short sale seller, loan number and amounts.

I think this short sale approval letter might help you understand the Short Sale situation a little better.

This is pretty much the last step in the short sale process right before closing where the bank finally reveals what they would accept and what the terms and conditions are.

  • Listing a short sale with a realtor for sale
  • Getting an offer on the property
  • Sending all the paperwork to the bank
  • Having a BPO done
  • Negotiating with the banks
  • Getting a Short Sale approval letter from bank
  • Going to closing

Short sale approval letter

As always, contact us with all your questions

Anne 727 410 7777

What Is A  Short Sale and How Does It Benefit the Seller?
Short Sale St Petersburg Fl | House Supported by Money


Short sales happen when a home is sold for less than the mortgage owed by the homeowner on it. The proceeds of the short sales go to the lender. The lender will accept short sales even at a loss since having the property go into foreclosure will actually be a greater loss for both lender and seller. A  St. Petersburg short sale is therefore a better alternative to a foreclosure and has many benefits for the seller.


1. Avoiding Foreclosure. A short sale is an alternative to foreclosure. This helps lessen the damage to your credit. Although you must bear in mind that your missed and late payments will still reflect in your credit. Nevertheless, a short sale is still more beneficial to you than a foreclosure.
2. Avoiding Deficiency Judgments. In some states, your lender could require you and legally hold you liable to pay the amount you still owe after a foreclosure.This is called a deficiency judgment. In a short sale, it is possible to negotiate a release with the lender and have them agree not to pursue you for any deficiency as part of the short sale. This could be the biggest benefit to the seller of a  short sale.

3. You get to live in your home without having to pay your mortgage. At least for the duration of the short sale process, that is. Short sales usually take a long time since you have to prepare and organize your short sale package, submit it to the lender, wait for an approval, list the home as a short sale, wait for a buyer’s offer, and close the deal. The months it takes for this entire process equates to time you get to live in your home without having to pay any mortgage. This could be the perfect time to build up a financial reserve so you won’t fall into the same financial hardship in the future.

4. You get a sense of closure. Losing your home due to financial hardship can take its toll on you emotionally. One benefit of a St. Petersburg short sale is that it gives you a sense of closure to your home. During the months it takes to process the short sale, you will have enough time to adjust to your new financial status and you get a clear idea of when you will have to leave your St. Petersburg  home.

5. Leaseback Opportunity. A short sale may give you the chance to stay in your home in case you find a buyer who is willing to agree on a leaseback setting. In this deal, the buyer purchases the home at a discount as a short sale and leases it back to the seller at a lower payment. Some leasebacks even have a buy-back option which allows the tenant to buy back the home from the new homeowner.

These are just some of the benefits of a short sale over a foreclosure. If you need help with your  short sale, call us to speak with one of our highly skilled  short sale agents / realtors and we will help you through the entire process of the short sale.

Click here to see the current Short Sale listings in Pinellas County





10 Tips to Sell Your Condo or House as a  Short Sale.

short-sale-sign     A short sale is when a homeowner needs to sell the home for less than the amount owed on the mortgage, with all           the proceeds going to the lender. It is an alternative that most homeowners facing foreclosure turn to since it gets             them out of debt and has less damage to their credit score compared to a foreclosure.  The short sale process can be a     very frustrating and stressful one for the homeowner, not to mention a long one. It could take months before a lender     finally approves a short sale. If the complex and lengthy short sale process falls through, the end result could be a         foreclosure. But please do not let this encourage you, this can be avoided if you are prepared, organized, and armed         with the right knowledge and are working with a short sale agent with experience.  Here are some tips to help you         sell your short sale property fast.



  • 1. Check for references. Don’t just believe any real estate agent or lawyer that claims they have experience in short sales. Do your own research and background check, especially on their years of experience and number of short sales they have closed. Remember that short sales are very different from regular sales and it is important that your agent is knowledgeable and experienced in short sales in your area, since rules and regulations differ in every state.
  • 2. Communication. You should have regular and constant communication with your  short sale agent, your local real estate/ foreclosure attorney, and a CPA. Each state will have different laws and regulations about short sales which change constantly. Keeping constant contact with these experts will ensure that you always stay in the loop during the short sales process.
  • 3. Gather and organize all your documents. Short sale files can reach up to 80 pages. Consult with your short sale agent and your lender to determine the required documents you need to provide. Most short sale lenders will require you to submit your recent pay stubs, tax returns, bank statements, monthly mortgage statements, and a list of debts and expenses you have incurred.
  • 4. Be current with your HOA payments. Delinquent fees like Home Owner Association Fees can kill a short sale. Most short sale agents and buyers will not work with short sales where HOA payments are delinquent.
  • 5. Know the market value of your home. Most of the time, banks will lower the price of a home as much as they can to be able to unload it. But make sure you keep the price of your home at a reasonable level. You can do this by knowing the actual price or market value. You can ask the help of a local appraiser to determine your home’s current market value.
  • 6. Set the right price. Once you know the value of your home, set it at a price which is slightly above the market value to make room for negotiations.
  • 7. Expect the price of your home to decrease. As your property stays on the market for a longer period of time, then the price will inevitably go down. But first consult with your short sale agent, attorney, and CPA before lowering the price.
  • 8. Negotiate often. Since the lender would rather have the property sold than have it default, then you have some leverage in negotiating with them
  • 9. Patience is a virtue. A  short sale takes longer than a regular sale since there’s the extra paperwork and more parties involved compared to a normal sale so you must learn to be patient.
  • 10. Expect it to not be over yet after closing. There are instances when, after the closing of the short sale, the borrower will later be asked to pay the difference between the short sale and what the home was worth, which is called a deficiency judgment. One way to avoid this is to do the short sale through the HAFA. BUT again, if you work with us as your Short Sale agents we will help you get an approval letter from the bank that wipes out the deficiency once and for all.

With all these, as well as proper preparation and working with an experienced  short sale agent, your short sale should work out smoother and faster.

Call our office today to speak to Anne or Manny 727 410 7777  so you can get fast help and all the information you need about Short Sales and what to expect.

Or fill out form below and we will be happy to assist you with all your questions.

Thank you for taking the time to read this little post about 10 Tips to Sell Your Condo or House as a  Short Sale

Click here to see the current Short Sale listings in Pinellas County