Will you be approved for a short sale?

In order to sell your home for less than you owe on the mortgage, your lender will require that you qualify for a short sale. There is a several month process and lots of documentation in the short sale approval process, however some level of financial difficulty will be required.

The most common hardships that are easily approved and widely accepted by lenders:

Unemployment
Employment or military relocation
Divorce
Death of a co-borrower/household wage earner
Facing foreclosure
Increase in expenses
Decrease in income
Natural disaster impacting property or employment
Medical issues

However, there are other, less common situations that can also be approved, if presented properly:

Excessive forbearance obligations
HUD Partial claims leading to excessive mortgage debt
Future financial obligations that will lead to imminent default
Purchased a new home and unable to pay for old
Bad tenant situations
Homes needing significant repairs out of reach for borrowers income
Voluntary career changes
Voluntary relocation

There is a lot of misinformation out there on the web regarding what is and is not an acceptable hardship. Before assuming your “hardship” doesn’t qualify, talk to me!