A short sale with only one mortgage is not that difficult. Even an inexperienced agent can often get these approved and sold.
A short sale with 2 loans becomes much more difficult. You now have to lenders that have to agree with each other. However, an experienced short sale agent can get the two lenders to agree with each other on the short sale.
However, when you have 3 or more loans and/or liens, everything just becomes way more complicated. Most first mortgages will only give $2,500 to $3,000 a second mortgage on a short sale.
They don’t have any policies in place on what to give a third position mortgage or lien. And that third position lien holder isn’t going to go away for free. Someone is going to have to give them something in return for them releasing their lien.
That third position lender basically has the right to throw a wrench in the works unless they get paid. They can veto the short sale for any reason. They will only go away when they are either paid in full or accept a lower amount.
This is what makes short sales with 3 or more loans so difficult. The first mortgage, second mortgage, and third position lien fight over the available money.
At the end, the first mortgage usually forecloses on the property and the second and third position people get nothing. But, a foreclosure takes a long time and costs money.
At the end of the day, everyone ends up losing more than they would have made if they had simply worked together.
This is why we usually avoid short sales with 3 or more mortgages/liens in place. Thinking about a short sale?
I can help you short sale your property and never pay the bank another penny. Send me an e-mail at firstname.lastname@example.org. I will contact you for a free consultation.
When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at 213 445 2277
Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.
Thinking about a loan modification? Our Northridge loan modification kit has the instructions you will need to get a loan modification approved with your bank. Click here to request a copy.
Thanks for reading this, Will Wheaton.
Will is a Real Estate Agent at Keller Williams R.R. Gable. Northridge Short Sales Realtor:
Phone: 213 445 2277. email@example.com.
View My homes for sale at www.willwheaton.kwrealty.com.
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Will Wheaton specializes in loan modification assistance and short sales in Northridge California. Northridge Loan Modification Help, Northridge Short Sales. Northridge Short Sale Realtor. Granada Hills CA Short Sale Realtor. Reseda CA Short Sale Realtor. Canoga Park CA Short Sale Realtor. Santa Clarita CA Short Sale Realtor. Encino CA Short Sale Realtor. Palmdale CA Short Sale Realtor. Chatsworth CA Short Sale Realtor. Sylmar CA Short Sale Realtor. Sherman Oaks CA Short Sale Realtor. Los Angeles CA Short Sale Realtor. Northridge CA Short Sales. Northridge Realtor.
Copyright 2012 SFI Marketing Institute, LLC. All Rights Reserved.
Will Wheaton, Keller Williams R.R. Gable, and the Stop Foreclosure Institute are not affiliated in any way, shape, or form with the government. Our services have not been reviewed or endorse by the government or your lender. Most lenders willingly work with agents on short sales. Why?
Because most short sales are beneficial to a lender. If you accept our offer to help you on a short sale, your lender may not agree to a short sale or to modify your loan. We do offer a loan modification kit.
However, the likelihood of negotiating a modification is like everything else in life. It takes work and persistence to convince your lender to modify your loan. No matter what you or we do, your lender may not approve a loan modification.
We do not recommend that you stop paying your mortgage, because this will cause damage to your credit and could cause you to lose your home. Because we know avoiding foreclosure is so important to any homeowner, we recommend that you speak with the appropriate legal or tax advisor before making any decision.
This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing.
You have the option to reject a short sale or loan modification from your lender if it does not meet your approval. If you decide not to go thru with the short sale, then you do not have to pay us our fee. We normally make a real estate sales commission for helping you on a short sale.
The views expressed here are Will’s personal views and do not reflect the views of Keller Williams R.R. Gable.
This information on Why I Recommend That Home Buyers Avoid Buying A Northridge Short Sale With Three Mortgages is provided as a courtesy to our viewers to help them make informed decisions.