How can I Short Sale my House?!

Well, the verdict is in!  Banks now NET more money on Short Sales than they do if they file foreclosures proceedings against a Home Owner.  In 2012, Wells Fargo closed more than 77,000 Short Sales in contrast to about 27,000 Bank Owned (REO) Sales which is huge shift from the previous few years where REOs and Auctions were dominating the sales.    

 

But your 1st step should be to contact Department of Housing and Urban Development (HUD) and talk to a counselor about your options to avoid foreclosures.  

This is good news cause now your interest in unloading your underwater House is inline with the Bank’s interest to get ride of you as a dead beat owner!

In fact, they are even willing to pay as much as $25,000 in case of Chase Bank and Bank of America as MOVING  Assistance. 

But to qualify for a Short Sale you have to document:

1)  Hardship Letter
2)  Financial Statements
3)  List of Assets and Liability
4)  Pay Stubs for 30 days
5)  Taxes for the past 2 years
6)  Income & Expense Statement
7) Listing Agreement
8)  HUD -1 Settlement Statement
9) Fully Executive Purchase Contract
10) Fully Executed Short Sale Addendum

 This is rather ironic since the banks have been struggling to bring the delinquent homeowners to the Short Sale Negotiations table and now that one has volunteered to show up; they are penalizing this owner by ruining her credit.  

Go figure.