Completing a short sale can be a lengthy process. You can facilitate your short sale by having a short sale specialist who will walk you through the steps, and by having all of your own paperwork and information in order.
Stage One: Documentation
The first stage of the process involves the homeowner gathering all documentation about the home and the mortgage(s) and any other info to give to the specialist. How long this takes depends on how organized the homeowner is! The specialist should be able to supply a list of all the documents needed.
Stage Two: Preparation
The second stage involves both the specialist and the homeowner. Listing paperwork will be prepared, the home will be prepared for listing, and pictures may be taken for the listing.
Stage Three: Marketing
The third stage involves the marketing of the home for sale. This could result I an acceptable offer within days, or it could take several months. As a short sale, the likelihood of selling the home is greater in a down market because the home is being sold at a better value. This helps the buyer get a great deal and helps the seller get out from under an upside-down mortgage.
Stage Four: Negotiation / Approval
The third stage can take a while. Once a serious offer is made, the negotiation with the lender begins. This process can take as little as 30 days or as long as 100 days (or more), and typically consists of a lot of back and forth between the lender, the specialist and the prospective buyer.
Stage Five: Closing the Deal
The fifth stage is the step that takes you from bank approval to the buyer closing on the home. This stage can be completed in as little as 14 days or as much as 60 days (or more). Homeowners who are still living in the home being sold must be prepared to move out quickly once the approval has gone through!
A short sale is often the best way to sell your home, but don’t forget to have a qualified specialist on your side to make the sale run smoothly.