Do you still owe money after a short sale?
Do you still owe money after a short sale?
In California, you can only do so after a short sale, but remain liable for the debts after a foreclosure sale. Thus, deficiency judgments, or these debts you may still owe after your home was sold, can usually be discharged in bankruptcy.
Can a short sale be removed from credit report?
How Long Does it Take for a Short Sale to Come Off Your Credit Report? Short sales are treated similarly to foreclosures, and can also stay on credit reports for seven years. However, it won’t appear on your credit report as a “short sale.” Instead, your mortgage may be reported as “settled.”4 dagen geleden
Does your credit score go up when you sell a house?
If you’re worried about how selling your house will affect your credit, you should know that it may have little or no effect on your credit score. While it won’t hurt your score if your overall credit history is positive, it may not help it in the long run.
Why are short sales bad?
Short sales are a mixed bag for the buyer, the seller and the lender. If you’re a seller, a short sale is likely to damage your credit — but not as badly as a foreclosure. You’ll also walk away from your home without a penny from the deal, making it difficult for you to find another place to live.
Can a short sale close quickly?
Short sale-offered homes can sell quickly, though lenders may take some time to approve such sales. However, lenders often want to close quickly once they approve a buyer’s short sale offer.
Can a seller back out of a short sale?
Sellers Who Cancel Short Sale Contracts In California, buyer’s agents generally attach a “short sale addendum” to the purchase contract. The short sale addendum specifies that the entire transaction is contingent upon lender approval. A seller may decide to cancel the listing, and the listing agent will agree.
How often do banks accept short sale offers?
While a rare handful of lenders can accept short sale offers within a month or two, acceptance can typically take four to six months, or even longer. And when there are junior lien holders, each one will typically have their own Broker’s Price Opinion (BPO) done at the property before they accept the offer.
Why short sales take so long?
When an owner applies for a short sale, the lender will ask for a ton of paperwork. Sometimes it seems that the lender asks for more paperwork in a short sale than when the borrower took out the loan. And the more money the lender will lose, the more time it may take to process and approve the short sale.
What is the benefit of a short sale?
In a short sale, if the appraisal by the buyer’s lender ends up less than the sales price, resulting in a low appraisal, you can probably get the bank to reduce the price. The bank will almost always match the appraised value.
