When a buyer makes a short sale offer on your Santa Cruz home, it’s impossible to know for sure if the offer will be accepted by the lender. Even when you’ve negotiated the offer with the buyer and come to an agreement that meets both of your needs, there’s still no guarantee that the lender will say yes to the short sale.
Here are three tips to help get short sale offers on your Santa Cruz home accepted by the lender:
1. Convince the lender that you have a legitimate hardship. Submit a hardship letter, pay stubs, bank statements, monthly budget and profit and loss statement to demonstrate that you cannot make your monthly payments and have no disposable income. Here are examples of hardships to mention in your letter:
a. lost your job
b. reduced hours/pay at current job
c. have to move more than 75 miles from home to get a new job
d. death of a borrower
f. onset of a disabling illness
2. Negotiate with the buyer to exclude terms and contingencies that complicate the sale. Lenders do not like to accept short sales when they include time contingencies or when the short sale is contingent on the sale of another home.
3. Submit paperwork as a complete package. Ask your lender for a list of all documents needed. Fill out the paperwork and collect all other documents required. Make copies of everything. Put together a complete package, including all the documents your lender requested, and only then send the entire package to your lender. If the lender later tells you they can’t find a particular document, don’t waste your time arguing about it, just resend the information – it’s easy to do because you already have copies prepared!
If you’d like more information on the possibility of selling your Santa Cruz home as a short sale, give me a call today at 831.662.6522 or email me at Lauren@LaurenSpencer.com.
For additional information please visit my website at www.MySantaCruzRealEstate.com.
Profit and loss statement