What is a Short Sale?
Short Sales in Richmond Va are simply when you sell your home for less than what you owe and the bank agrees to forgive the difference. For example, if you owe $250,000 on your home, but it is only worth $210,000 and you do not have $40,000 to pay the difference, then you would need to do a short sale in order to sell your property. The bank will agree to let you sell the the property for $210,000 and write-off the difference. You will need experienced Richmond Va Realtors to help you and preferable ones that specializes in Short Sales in Richmond Va like the team at Snipes Properties.
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What will it cost me?
Most of the time, the bank will not require you to pay back the difference. Also, you will not have to pay Realtor Fees, Commissions or Closing Costs as the bank will pay for those. Sometimes the lender may require you to pay a small amount, if you have a lot of liquid assets. Most people that do short sales do not have to pay anything out of pocket. It is much better for the bank to allow you to do a short sale instead of having you foreclose. It saves them a lot of time, money and risk. So, you need to make the effort to protect your interest and offer the bank a better alternative than foreclosure. It’s a win-win for everyone.
Does it effect my credit?
A short sale can effect your credit score, but the effect is far, far better than if you let the property go to foreclosure. A foreclosure will prevent you from buying a home for at least 7 years and can ruin your credit history. With a short sale, you can buy a home in as little as 2 years time and sometimes the effect on your credit is fairly minor and can be repaired with a little bit of effort after the fact.
How do I initiate Short Sales in Richmond VA?
The first thing you need to do is hire a Short Sale Realtor that specializes in Short Sales in Richmond Va. Not all Realtors know how to successfully complete a short sale, so be careful. The Snipes Team has a dedicated staff of Short Sale Realtors that specialize in helping Sellers and Buyers work through the Short Sale process specific to the Richmond, VA market. We are a boutique firm, but we are one of the Top Selling Realtor Teams in all of Central Virginia and we win awards every year for our production and we have a track record of happy clients to prove it! Our team knows how to communicate directly with Asset Managers, Lenders and Banks to streamline the short sale process in order to significantly raise the chances of success. We have completed deals that no other Realtor could have gotten done, because we have the experience and the Team Resources to get it done!
Questions you will need to answer to initiate Short Sales in Richmond Va:
- How many Mortgage Loans or Lines of Credit do you have on your property? We will need to the name of each lender.
- How much do you Owe? We will need to determine how much you owe and how much your property is currently worth.
- Is your home ready to show now? Most lenders won’t begin the short sales process unless you have your property listed with a Short Sale Realtor.
- Does your property need any major repairs?
- Have you missed any payments? Why do you need to do a short sale?
- Short Sales in Richmond Va require a lot of paperwork and documentation. You will need to be willing to compile and complete all of the required paperwork. If you want to save your credit, you will need to be extremely pro-active and cooperative with your Short Sale Realtor.
- Have you received a Default or Foreclosure Notice? If so, contact us immediately at 804-482-4200
- Once you meet with us you will need to speak to your lender and notify them that you are engaging a Short Sale Realtor and want to pursue a short sale. The lender may tell you that you are not eligible, but they may not be the case!
- Prepare yourself for a 3-4 month acceptance and another month to close. It seems like a long process, but it is worth it to save your credit.
- Most recent Pay Stubs for 30 days.
- Last 2 Months of all Checking and Saving Account Statements
- Current statement of 401K and IRA and any other liquid assets
- Hardship Letter – Our team will help you prepare this, but its important to consider all of the aspects of your financial situations like Relocating, Divorce, Marriage, New Births, Deaths, Loss of Employment, Illness, Moved out of property. There are many different factors that can cause a hardship.
- Copy of Leases ( if you have rented the property)
- Listing Agreement and Property Disclosures
Once we have all of the required documentation we will submit this to your lender and then put your home on the market for sale. Once we get an offer, we will begin the process of negotiating with your bank for you. We will be the main point of contract for you once the process is underway, but you may need to provide additional documentation request by the lender throughout the process. The good news is that we have a track record of success and once we complete the short sale process you will be in a much better financial situation than trying to carry a property you can not afford or having to go through the foreclosure process.
Would you like a Free Consultation to go over your situation?
Call us at 804-482-4200 or email us at info@SnipesProperties.com or fill out the contact us form and we will schedule a one-on-one appointment in our office to go over your situation and give you a step-by-step plan to completing Short Sales in Richmond VA.