REFINANCE: New loan with reduction in monthly payments
LOAN MODIFICATION: Modify original loan terms
SELL THE PROPERTY:Use equity to payoff or pay difference
RENT THE PROPERTY: Must make loan current
DEED IN LIEU OF FORECLOSURE: “friendly foreclosure”
BANKRUPTCY: Will stall foreclosure but not prevent it
SHORT SALE: Negotiate with bank to accept sale under loan amount
The Federal Government has a hotline. Homeowner's HOPE Hotline: 888-995-HOPE
Have you suffered any of these hardships?
Loss of job
Business Failure
Damage to Property
Death of a Spouse
Death of Family Members
Severe Illness
Inheritance
Divorce
Mandatory Job Relocation
Medical Bills
Military Service
Payment Increase or Mortgage Adjustment
Insurance or Tax Increase
Reduced Income
Separation
Too Much Debt
Incarceration
If so, you may qualify for a short sale.
Short Sale vs. Forclosure
Short Sale
Property is sold and lender accepts proceeds as payment
You may be released from any deficiency judgment liens filed against you
No foreclosure reported on to credit bureaus
Reflects on your credit reports for approximately 2 years
FICO score may drop between 75 - 125 points
Foreclosure
Lender takes ownership and forces the sale of the property
Lender has the ability to file a deficiency judgment against debtor and any other properties owned
A foreclosure will be reported to credit bureaus
Reflects negatively on your credit report for up to 10 years
FICO score may drop between 200-280 points potentially causing loss of security clearances
Documents needed for a short sale
Two months most recent mortgage statements (all mortgages)
Two months checking account statements (all borrowers if separate)
Two months saving account statements (all borrowers if separate)
Two months other account statements (all borrowers if separate)
Last two paycheck stubs (all borrowers)
Two years tax returns
Hardship Letter
Financial Worksheet
To discuss selling your home call Eddie Rangel & Steve Dean at 202-525-6499
Both Eddie and Steve are Certified Distressed Property Experts with extensive training in foreclosure avoidance and short sales. Eddie and Steve are well versed professionals with extensive experience in co-operative and condominium sales. Despite the tough housing market, Eddie & Steve remain in the Top Ten RE/MAX Teams in Washington, DC based on closed sales in 2008 and 2009.
Steve Dean is a Washington, DC REALTOR licensed in the District of Columbia and Maryland. A Washington, DC native, Steve grew up in Northern Virginia and has lived in the District since 1995.
ActiveRain Corp. is not responsible for the accuracy of the site's content (which is written by members of the ActiveRain Real Estate Network) and does not endorse the views of the real estate agents, mortgage brokers, and others listed here.
