What You Should Know About Short Sales
Buying a home is one of the most significant things that a person will do in their lives. Owning a home can be a wonderful thing, but it can also become a hardship if you cannot make the monthly mortgage payments. Because many Long Island homeowners experience problems with paying their mortgage, there is something called a short sale that can help. Here is some information about Long Island short sales that all homeowners should be aware of:
What is a Short Sale?
In certain situations, like when they are unable to make payments, a homeowner may have to give up their home. One way that you can do this is to do a short sale. When a short sale occurs, the value of the mortgage on the home will be larger than the selling price. Though financially, this isn’t a great outcome for the homeowner, it is much more positive than other options, like foreclosure. With Long Island short sales, the bank will need to make the decision if a short sale can take place. If they are able to benefit from this type of situation, they will likely allow it. However, you may want to hire an attorney in order to negotiate this with the bank.
How the Process Will Work
Though all situations are different, in most cases, you will find that a short sale will follow a basic outline. First, you must have a value of your home. This will need to be done by a professional. Once you have the value, you will need to reach out to the bank or the mortgage holder and share this information with them. You will need to write a letter to the lender stating that the only other option you will have is a foreclosure and you and your attorney will come up with a sales package that can be presented. It is very important that the amount is going to be attractive to the bank because if not, you may be forced to go through a foreclosure.
You can find a highly qualified attorney in Long Island who is able to assist you with this process. Make sure that you are using an attorney who is proficient in real estate law and one who has gone through this process time and time again.