Short Sale or Foreclosure?

Short Sale - in 18-24 months you can buy another home with reestablished good credit

Foreclosure - it will take 4-7 years to purchase another home and about 7 years to

reestablish your credit

What is a short sale?  It is when you owe the bank more than your house is worth.  The bank agrees to take a loss on your house, put it on the market and quickly get it sold.

Why would a bank do a short sale?  The bank loses less on a short sale than a foreclosure.  A typical foreclosure costs a bank between 30 & 40% of the loan balance!

Steps to short sale:  There are about 10 steps which your real estate agent will walk you through with the real estate agent doing much of the work.  Be sure you chose an agent

familiar with short sales.

How do I start?  1st-you will have defaulted on your loan - maybe 2 payments or more late  

                             to the bank - do NOT wait until you are 6 payments late to do something.

                             2nd - call your bank, and call your real estate agent

                             3rd - you will most likely have received a letter from the bank telling you         they want to be paid - show that letter to your agent

                             4th - you will need to fill out forms - yep, a lot of trouble, but worth it

                             you will also need to write a "hardship" letter to the bank - your agent will            know how to handle these forms and help you with the letter and from here

                             on it is mostly your agent who will be doing the work - UNTIL…..

                             Step 10 - you have a contract worked out and go to closing

We’re given about 120-150 days to sell the house so time is of the essence - act quickly.

It is a hard time for you - you may be feeling depressed, hopeless or embarrassed - Stop it!!  This may just be the answer to the prayer you have been praying. 

So………...this is it - call me, if you are in Memphis I will help you.  If you are elsewhere I can refer you to an agent who will help.

Oh - the bank requires an agent and they pay the agent - you have no out of pocket costs.

Carole Ann Burns  - I’ve been selling R.E. for 26 years - I can help you & should I not be able to I will refer you to someone who can!

Cell - 901-619-4222

Crye-Leike Realtors office  901-756-8100

E-fax - 901-261-0587