These volatile financial times are both unpredictable and worrisome.
It’s not easy to get up every day wondering when/whether you will be able to keep paying the mortgage – or whether it just doesn’t make sense to keep throwing money at a mortgage balance that’s far higher than the value of your house.
County-wide, about half or more of all homeowners are at some stage of this reality.
You wonder… can they come get me? Can I stick it out? Will I ever be able to buy again? Do I even care about buying again?
For help with your short sale questions, click here. Every short sale situation is unique, and we’ll be happy to provide answers related to your specific situation.
Don’t wait, because there’s one thing that’s certain – doing nothing and allowing the bank to foreclose is the very worst thing you could do.
The sooner you decide to take action, the sooner you reduce the stress. Whether you are behind on your payments, know it will happen in the future, or simply want to quit depleting your resources on a house with negative equity, the time to act really is now.
In fact, if you’ve gotten behind on payments and want to avoid foreclosure, you really need to act yesterday. While some banks are behind on their paperwork, your foreclosure could be complete within 8 months of your first missed payment. Once you’ve received a notice of default, the foreclosure could be complete in a little over 90 days.
New regulations prohibit lenders from “dual-tracking,” which is going forward with a foreclosure when a loan modification or short sale is in progress, but some lenders are not following those regulations. The best course of action is still to get started as soon as you know you can’t/don’t want to keep up with those payments.
A San Diego Short Sale is the safest option
Either a short sale or a foreclosure is hard to take. Both are distressing. However, the benefits of a short sale vs a foreclosure make it clearly worth the effort.
For one thing when you short sale your house rather than allowing it to go into foreclosure, you have some control over the timing. You know ahead of time when you’ll be expected to move out and can make plans. And, depending upon your lender and your loan program, you may even be granted funds for moving.
In addition, short sale consequences aren’t as severe as the consequences for a foreclosure. When you short sale your house, your credit scores won’t be as badly damaged and you’ll be eligible for a new mortgage loan within 2 to 3 years. If you allow a foreclosure, you’ll have to remain a tenant for 5 to 7 years. Not only that – for the rest of your life you’ll have to check “yes” in answer to the loan question: “Have you ever had a house foreclosed upon?”
The greatest dangers and the biggest differences between a foreclosure versus a short sale are twofold.
The first danger comes if you have a non-purchase money second mortgage. If you short sale your California house, that second mortgage will be eliminated. If you go through foreclosure, that second lien holder can sue you for the amount due on their note.
The second danger comes with a rising trend now being labeled the “Zombie Foreclosure.” This can keep you tied to your house – and it’s ongoing tax, utility, and HOA bills – for years.
The only way to KNOW that it’s “over when it’s over” is through a short sale.
But so many short sales fail, is it worth the effort to try?
You’ve probably heard the horror stories. Family or friends may have had such bad experiences that you’re wondering if it’s even worth the effort to attempt the short sale of your home when so many short sales fail.
Yes, it IS worth your effort, because there’s a reason why those short sales failed…
As you no doubt know, a short sale can only happen with the lender’s approval – and getting that approval is far from automatic. It’s even more difficult here in San Diego now that banks are not allowed to sue California homeowners for a deficiency in a short sale. Getting approval requires knowledge, skill, and persistence.
Thus – the reason why so many short sales have failed is that the sellers chose an agent who was inexperienced in handling short sales. They listed with an agent who didn’t know:
- How to correctly price a short sale
- How to assist their clients with their short sale hardship letters
- How to present a short sale package
- How to negotiate with the bank’s asset managers, and
- How to correctly follow up to see that their short sale kept moving through the bank’s system.
You can experience a successful San Diego short sale
…when you list with the HaroDunlap specialists
Over the past 5 years, the short sale pros on the HaroDunlap Team have helped hundreds of San Diego homeowners avoid foreclosure and get a fresh start.
We use a time-tested system, fine-tuned by years of experience in dealing with the banks that hold liens against San Diego homes. As a result, we hold a 98% success rate in closing short sales on our underwater listings.
While you do have some other options, if you want freedom from lingering financial burdens, there is but one solution – a properly managed, successful short sale.
For more information about short sales, visit our Frequently Asked Questions page.
Or, for answers to questions about your specific situation, click here to ask your question and request the help you need. We’ll be glad to talk with you – with no obligation, of course.
If You’re Already Facing Imminent Foreclosure…
If you’re running out of time because you tried a short sale or loan modification and failed – or because you simply waited too long to get started – we can still help.
Working with private investors who purchase houses as-is in any condition, we’ve created the “Cash Short Sale Express.” Click here to learn more and/or submit your house for their consideration.
You can also reach the HaroDunlap Team by writing email@example.com or by calling 619-299-HARO.
Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.
This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.