All About Short Sale Services
Everything You Need to Know About Short Sale Services
In the real estate industry, money talks — which also means that sometimes it doesn’t. Financial difficulties are a real thing in our industry, especially when it comes to mortgages and foreclosures. And, no matter what position you may hold, having an understanding of how those financial difficulties work is key.
Enter: short sales.
Here’s what you need to know about short sales.
What is a short sale?
A short sale is when a homeowner needs to sell the home for less than is owned on the mortgage, also known as coming up “short.” This often happens when the homeowner is in a poor financial situation, and has few other options. The short sale process typically goes hand in hand with proof of hardship from the homeowner, and is something that should be brought up to the lender before missed mortgage payments start to rack up.
If the short sale is approved, all of the money from the sale goes straight back to the lender, and the lender may either forgive the remaining balance or make the homeowner pay it. While this depends on the lender, it also depends on the state — as some states legally require the lender to forgive remaining balances in short sales.
In a short sale, the lender has to approve the process – especially since the lender can often lose quite a bit of money in a short sale. Short sales are a long process for all parties involved, but they can often be preferable to a foreclosure, especially for the homeowner and the homeowner’s credit score.
How VRM Mortgage Services can help
At VRM Mortgage Services, we’re well equipped to complete and coordinate short sale processes. We work hand in hand with our licensed vendor network (who are educated by the Fair Debt Collection Practices Act, or the FDCPA) to facilitate party contact. Our vendors work tirelessly to make sure that short sale is the right choice for everyone involved, and we will discuss all borrower options — including loan modification options, short sale options, and short sale to lease options.
At VRM Mortgage Services we can manage and complete all short sale timelines, all the way through to closing. Our goal? To help you ensure an efficient, streamlined, and clear short sale process that covers the following steps:
- Borrower outreach
- Borrower education
- Relocation assistance (Cash for Keys)
- Timeline and communication management
- Offer negotiation
- Closing coordination
Looking to start a short sale process or learn more about the VRM Mortgage Services team and our vendors? Find out more here.