Is it time for a short sale?  It can be a difficult decision to make.  Are you eligible?  The lender is going to need to see that you have a financial situation that justifies the short sale.  Have you lost a job?  Lost income?  They are going to need to understand why you can no longer pay your mortgage.  A drop in the home value is not going be enough.  They still expect you to pay, if you are able.  They are going to want you to document income and assets.  Be prepared to provide tax returns, bank statements, a hardship letter explaining your current financial situation and more.

Do you understand the tax and legal implications?  Whether you will owe taxes as a result of the short sale may depend on whether you are selling your primary residence or an investment property.  It may also depend on the type of loan you have and whether the money was used to fix up the home or to buy something else--like to buy a boat or pay your child's tuition.  You can expect a 1099 at the end of a short sale (or foreclosure for that matter). You need some one to help you understand the implications and your options.  

At Freedom First properties we help California homeowners successfully complete the short sale of their properties.  We utilize our combined legal, real estate and appraisal services to negotiate and facilitate the sale.  The result is an overwhelming success rate when compared to national averages.  

If you chose someone else, please chose carefully.  There are a few predators out there claiming to be short sale specialists.  Beware of those who charge an upfront fee or request that you transfer title to them first.  You do not need to do so and you should not pay anything at any point for the short sale.  The short sale agent should only be paid by the lender when and if the deal closes. 

If you would like to discuss your situation, do not hesitate to call us. We understand. We are here to help. 

For more short sale info for sellers, see our Seller FAQs