As laws and regulations are constantly changing it is important to get the most current information available. Jason Nichols, Founder of North 2 South Realty is constantly scanning the real estate environment and has made available the most current information to help both buyers and sellers.
Jason has provided a series of videos that carefully outline the short sale process. Use the following link to watch for yourself. North 2 South Short Sale Video Series these will help provide you with the information needed to make an informed decision about a short sale. Most people know that a short sale can help struggling homeowners avoid foreclosure and maintain their credit rating, but it is important to work with a professional who deal with short sales to ensure a smooth transaction.
The Mortgage Forgiveness Debt Relief Act allows homeowners who close a short sale to be free of income tax on the amount of their mortgage that is not paid off from the sale of their home. However, anyone considering a short sale should be aware that the Act is set to expire on December 31, 2013 and after that the amount of a mortgage that is not paid off becomes taxable income.
New policies at Fannie Mae and Freddie Mac will further streamline the short sale process and open it up to an even wider group of participants. Homeowners simply need to demonstrate a financial hardship and no longer have to be behind on their mortgage payments to qualify. Paperwork requirements have also been greatly reduced or, in some cases, eliminated.
Top 13 Ways to Get Your Short Sale Approved Fast in 2013
13. Understand available short sale incentive programs.
12. Collect all documents for the short sale package at the listing appointment.
11. Have your title officer run the Statement of Information when the short sale listing is taken.
10. Order (and read) the preliminary title report when the listing is taken.
9. Get non-institutional liens released early.
8. Order repair and pest control bids prior to submitting your short sale package to the lender.
7. Assure that the settlement statement that you submit to the bank has the correct figures for your closing date.
6. Submit a complete short sale package to the bank (including a fully executed offer, when applicable).
5. Do not use or accept electronic signatures.
4. Maintain regular weekly communication with all parties throughout the process.
3. Make sure that the short sale sellers have an exit strategy.
2. Follow up regularly with the lender(s).
And, the number one way to achieve short sale success in 2013¦.
1. Stay calm. No matter what you do and who you talk to during the process, make sure to stay calm and always maintain a pleasant attitude. Not only might their be health benefits to living life with a positive attitude, but you may find that a calm and pleasant attitude may lead to some new friends (and referrals) in 2013!