subject: Short Sales and You [print this page] A Short Sale is where the bank agrees to take a discounted payoff on the loan. Banks accept these transacdtions because selling the home for less than what is owed is generally less expensive than foreclosing on the property. Before allowing the homeowner to start the transaction, the homeowner should be able to show they cannot afford the property.
There are thousands of Naperville foreclosures in Illinois. The owners of Naperville foreclosures may owe more than the property is worth and after falling behind on payments don't know where to reach for assistance. The Foreclosure process can be stopped by selling the house through a transaction known as a Short Sale.
An advantage of selling a property this way is that the transaction does not cost the homeowner anything! Generally, all closing costs are paid for by the foreclosing lender. This is important for homeowners to know as many belive they cannot afford the service. Homeowners should be wary of anyone trying to charge money out of pocket for this service.
A short sale is not a short transaction. On average, the transaction will take 3-6 months to process. The negotiation takes a long time because banks are overloaded with foreclosures in todays market. Each of the lenders negotiators has tons of files to handle, so when a short sale is sent in, its not uncommon to wait 30 days before hearing a response from the bank.
To get started with the process the property owner should work with a professional company that specializes in the transaction. Be it an investor or realtor or whomever. Common traits of a professional company is one that knows how to collect all the required documents, handle the listing of the property, negotiate with the banks, close and keeping the homeowner updated throughout the whole process.
The Short Sale is a transaction that is a win-win for everyone; homeowners owning the Naperville foreclosures save their credit and the lender no longer has to go through the expensive foreclosure process. Property owners owning Naperville foreclosures should contact a professional as soon as possible to discuss their options and avoid foreclosure
