Zillow Advice: Buying Process - What exactly is a Short Sale? and Are you able to get a Mortgage for a Short Sale? http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ Zillow Advice | Zillow Real Estate A short sale is when the ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ <br/>A short sale is when the seller is asking their lender to release the deed on the house for less than what is owned on the property. &nbsp;Many times, the lender will pay the expenses for the seller as well when doing a short sale. &nbsp;This can be frustrating because it is not a quick process and can take several months to get accomplished. &nbsp;In addition the short sale price listed may not be an approved price therefore the bank may counter the buyer with a higher price than was listed for on MLS. &nbsp;You need to have patience when buying a short sale and realize that it is not a quick sale, it is short only because the seller is falling short on what they owe. &nbsp;There are usually no repairs on properties so beware that you definitely need to have inspections and be prepared to walk away. Wed, 23 Oct 2013 13:20:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-10-23T13:20:00Z Short sales can be confusing, ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ Short sales can be confusing, to that's great that you are asking this question to be fully educated as you think about buying your first home.&nbsp; A short sale simply means that the seller is experiencing a hardship of some kind and can no longer afford to pay their mortgage... And the current value of the home will not pay off the seller's full mortgage balance... so it's coming up "short" of money.&nbsp;&nbsp; However, the seller's mortgage company agrees to accept today's fair market value and will forgive the difference between what it sells for and what the seller owes.&nbsp; What it means to you specifically as the buyer, is that a) you can get a good deal likely on a short sale and b) you will have to be patient, bc short sales can take from 3-12 months to close....&nbsp;&nbsp; And c) you have to be ready to sign paperwork and turn it around quickly.....&nbsp;&nbsp; I highly suggest that you partner with a full time realtor who has their short sale designation (SFR) for more detailed info on short sales in your particular area.&nbsp; Good luck! <br/> Wed, 23 Oct 2013 13:06:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-10-23T13:06:00Z yes you can. &nbsp;As long ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ yes you can. &nbsp;As long as the owner of property's bank says they will sell it to you for your agreed upon price, the mortgage process proceeds just like a normal sale. &nbsp; Wed, 23 Oct 2013 13:05:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-10-23T13:05:00Z A short sale basically means ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ A short sale basically means that the owner of the property owes more than the property is worth and is asking the mortgage holder to take less (a shortage) than what they are owed.&nbsp; It can be a great opportunity, but be wary of the potential length of time it takes to get to closing.<br/><br/>Good Luck Wed, 23 Oct 2013 12:17:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-10-23T12:17:00Z A short occurs when a seller ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ A short occurs when a seller needs to sell their property for less than is owned on the mortgage and the lender agrees to take less than what they are owed. In most cases the homeowner needs to show a<a rel="nofollow" href="http://www.shortsalebyowner.com/"><strong>hardship</strong></a> of either financial, medical or job related, such as a job relocation to approve a short sale. Most times the balance from the short sale is forgiven by the lender or it's negotiated as part of the short sale. Each short sale scenario is different, as the lenders decision depends on the sellers financial picture, market value of the property in relation to the purchase offer price, the lenders investors requirements and their own foreclosure ratios.For more detail visit on our website: www.shortsalebyowner.com Wed, 23 Oct 2013 11:30:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-10-23T11:30:00Z A short sale occurs when ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ A short sale occurs when you have to sell your house and the amount you owe the bank to pay off the mortgage plus the amount of seller's disbursement costs add up to more than the market or buyer is willing to pay for the house. &nbsp;This means you are "short" of funds to pay off your mortgage and transfer the deed to the new owner. &nbsp;To further complicate this sale, you must meet the HAFA requirements which are: &nbsp;&nbsp;<br/><br/>You may be eligible for a HAFA short sale if:<div class="listItem accordion"><p>Your loan isn't guaranteed by Fannie Mae or Freddie Mac</p><div class="listItem"><p>You took out your mortgage before January 1, 2009</p><div class="listItem"><p>Your mortgage is past due or your loan is current but you believe you'll miss a payment soon</p><div class="listItem"><p>The amount you owe on your first mortgage is equal to or less than:<br/>- $729,750 for a single-family home<br/>- $934,200 for a 2-unit property<br/>- $1,129,250 for a 3-unit property<br/>- $1,403,400 for a 4-unit property</p><div class="listItem"><p>You're experiencing a hardship such as a reduction of income, medical expenses or a divorce</p><div class="listItem"><p>The property isn't condemned</p>You must fill out the required paperwork and submit it to the bank for approval. &nbsp;During this process, you can still be making your mortgage payments or you could not. &nbsp;<br/><br/>To insure that this process goes as quickly as possible, the application should be made prior to listing your home and having the bank establish a market value. &nbsp;Then you market your house, accept an offer, and submit to the bank. &nbsp;This process could close as quickly as 30 days or could be as lengthy as over a year. &nbsp;If the offer comes in under the bank's market value price, then the bank may wish to counter the buyer's offer. Be as pro-active with paperwork as possible. &nbsp;<br/><br/>The bank may allow the sale or not. &nbsp;If they do, this allows you to transfer the deed to the new owner with no liens attached to the property from the bank. &nbsp;The bank then decides to either forgive the debt to the 1st owner needing the short sale or requires it to be paid back. &nbsp;Either way, this will substantially negatively affect the owner's credit score.<br/><br/>You may also want to check out the HAMP-this is a modification of your current loan and any financial/tax implications of the above. &nbsp;</div></div></div></div></div></div> Sat, 28 Sep 2013 12:38:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-09-28T12:38:00Z A short sale occurs when ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ A short sale occurs when a property is offered for sale for less than what the homeowner owes the bank. Yes, you can obtain a loan (mortgage) for a short sale. Because the offer you make to the owner will not be enough to cover the owner's mortgage balance, the bank will need to approve the short sale. This can take anywhere from two weeks to twelve months.&nbsp; Sat, 28 Sep 2013 12:09:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-09-28T12:09:00Z A short sale will likely ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ A short sale will likely prevent you from getting another mortgage right away. The amount of time you must wait before applying for a new mortgage loan depends on the type of lender and your financial circumstances Sat, 28 Sep 2013 10:26:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-09-28T10:26:00Z I think everyone below has ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ I think everyone below has already answered all the key points to what a short sale is, however make sure you always do your research and ask the following questions:<br/><br/>1- How many mortgages (liens) are on the property? (the more liens, typically the more complicated)<br/>2- Have your buyer's agent interview the listing agent on his/her familiarity with short sales and if he/she has an attorney or title company whom is an expert in negotiating short sales (a short sale deal's strength is only as strong as the listing agent's knowledge and resources)<br/><br/>If you are in a hurry to move into a new place or need to buy the new property contingent upon the sale of your current property a short sale is not for you.&nbsp; However if you are a patient individual with 4-6 months, maybe even a year to wait, and a little extra reserve of cash for potential repairs out of pocket, a short sale may be the right fit for you. Sat, 28 Sep 2013 03:55:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-09-28T03:55:00Z Short sales are anything ... http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ Short sales are anything but short when it comes to time frame.&nbsp; There are two types of short sales. Those which have been approved by the lender as a qualifying short sale and those that have not.&nbsp; The latter will take more time to close.<br/><br/>Either one will take more time to close.&nbsp; Yes you can get a mortgage but be prepared that closing will be longer than normal.&nbsp; That could affect your lock in.<br/><br/>Find a qualified agent to assist you and an experienced mortgage originator who can give you more detailed guidance. Tue, 24 Sep 2013 23:36:00 GMT http://www.zillow.com/advice-thread/What-exactly-is-a-Short-Sale-and-Are-you-able-to-get-a-Mortgage-for-a-Short-Sale/512670/ 2013-09-24T23:36:00Z