Frequently Asked Questions

Question: I can't meet the monthly payments on my home and I've been told that I should try
a 'short sale' but I'm not sure what a short sale is.
Answer: A short sale is when in order to sell the property before foreclosure a settlement of
the balance of the homeowners' mortgage is negotiated.

Question: How long does it take for a short sale to be completed.
Answer: Once all documents have been submitted, it should take between 1-3 months,
depending on the bank.

Question: What documents will I need.
Answer: The bank requires information on the condition of the property as well as your
current financial information. You need not feel overwhelmed as we will assist you
in collecting and colating this information and submitting it to your lender.

Question: But do you think that the lender is going to accept less than what I owe.
Answers: The housing problem is of such a great magnitude that lenders are more and more
willing to negotiate. Often they prefer to dispose of the property rather than allow
it to go into foreclosure leaving them with the cost and responsibility of repairing and
reselling the property.

Question: What's your cost for this service
Answers: The net cost will be zero. We do, however, collect a fefundable fee of $1,500 which
you pay in installments. This is to cover our costs during the process. Once the
short sale has been completed, you will be refunded all fees that you have paid.

Question: Why not just let the bank foreclose? Why bother with the short sale?
Answer: If there are late payments, you credit will already have been affected. However, the
effect of a short sale on your credit report is less than if you completed foreclosure.
Pre-forclosure on your credit will be listed as in redemption status, resulting in a 80-
100 point loss. A completed foreclosure will lower your score more plus the impact
will last longer.

Question: What is the effect on my credit if I had a foreclosure or a deed-in-lieu of foreclosure.
Answer: In both cases your FICO score will drop between 250-280 points.

Question: Will I be forced to leave right away?
Answer: The short sale will take some time so you have the opportunity to plan when and
where you move to. We can help you find your next home through our property
placement assistance. You may even be able to find the future home you wish to
buy, and rent it for 2 years in our rent-to-own program.

Question: How will I find a realtor?
Answer: We have a real estate brokerage team who will handle listing and showing your
home. If you have a realtor already, we will work with them.

Question: Suppose there arn't any offers on my home?
Answer: With a Short Sale, since we are able to make price reductions sooner you are more
likely to get offers. If no acceptable offers come in, the management company will
make an offer directly to the bank.

Question: Is it too late. A court date has been set for a hearing?
Answer: No. Through attending court many foreclosure sale dates have been successfully
cancelled and continuances optained so that the short sale process can
be completed.

Question: My home need repair. I can't afford any right now.
Answer: You should not make any repairs what so ever. The bank is more inclined to
negotiate a short sale if your home needs repair. You will, however, need to get a
home inspection report along with estimates. We will assist you in locating an
inspector so that we can attach this report to the paperwork we submit to the bank.

Question: Will I ever be able to be a homeowner again?
Answer: Do not dispair, yes. If you had a foreclosure or a deed-in-lieu, it would be up to 36
months before you would be considered by a lender for a new loan. With a short
sale your wait is a lot less. Within 18-24 months you should be able to buy again at a
decent rate of interest.

If you think a short sale may be right for you give us a call - Tanya 305-222-8283.