Amber Crawford

702-493-1700

B.S. Business Administration/ Marketing

National Association of Realtors

Short Sales and Foreclosure Resource Certified

What is a Short Sale?

A Short Sale is a negotiated settlement that allows a homeowner to avoid foreclosure by selling their property for an amount less than the amount necessary to pay off your mortgage loan.

In the past, it was rare for a bank or lender to accept a short sale. Today, however, due to economic market changes, lenders have become more negotiable when it comes to these transactions.  Not all lenders will accept short sales or discounted payoffs, but more often the lender agrees to the short sale because they know if they take the property back they will often incur a greater loss through foreclosure.  A homeowner will have to demonstrate or prove a hardship to gain the approval of the lender. A short sale will allow a homeowner to avoid foreclosure and keep it off their public record history, and in some cases allow the owner to avoid a deficiency judgment (See Making Home Affordable http://makinghomeaffordable.gov/,). Borrower may qualify for another mortgage in as little as 24 months.

If you have taken a pay cut or been laid off, you could be eligible for help. Make sure you gather severance agreements, pay stubs and any other documents that prove your situation. Also, if you’ve had serious increases in essential expenses, gather documents that prove the expense. Perhaps you’ve had a child or you have unexpected medical bills. If you have any other factors that are restricting your ability to be current on your mortgage, keep records and plead your case.

How Long Can a Short Sale Take?

The Short Sale negotiation process can take several weeks to months before a lender and a homeowner can agree on acceptable terms.  Many lenders have layers of bureaucracy to navigate to get your short sale approved.  In some cases, a second or even a third mortgage may exist on the property. When this occurs, the process becomes more complex. The good news is recent changes in corporate and federal policy have taken measures to streamline the process.  In any case, each homeowner has a unique situation and each lender differs in the ease by which they administrate the short sale negotiation.  Knowing your lender and understanding where you are in the short sale process is important.  To be sure, a homeowner is best served by choosing a qualified real estate agent to guide the way.

The road to recovery is here.

Please call for a free consultation with Amber Crawford today (702) 493-1700.

I’m Already Behind on Payments, Will I Have Enough Time?

Initiating a short sale will not automatically stop the lender from beginning the foreclosure process. Time is of the essence! It is important to contact me as early as possible to increase the likelihood for a successful outcome, but even if you’re well behind, there are opportunities to help you. I have successfully convinced lenders to postpone a foreclosure while I negotiate the short sale. I work closely with your lender to negotiate and monitor your situation so you are aware of timelines in your negotiation.

Will I Get Any Money From the Sale?

No. The proceeds fall short of what the owner still owes on the mortgage, so there is no positive equity in the home and thus the owner will not receive any proceeds from the sale of the property.

Can I Stay in the House?

Take advantage of the time you have and prepare your family for the move. This is not a program that can stop a foreclosure and allow you to keep the house, so you will be moving.  However, a short sale is a lengthy process and you should stay in the home until the sale is complete, just make sure the home is easily accessible to potential buyers. 

Short-Sale vs. Foreclosure? Will the Bank Forgive All or Some of my Debt?

Lenders can legally file a judgment against a homeowner for the loss they take when they agree to a short sale or when they have to foreclose. The State of Nevada is a deficiency judgment state. There is some good news; banks are being encouraged to participate in government programs that require the borrower be released from future liability.  On November 30, 2009, the U.S. Department of the Treasury introduced the Home Affordable Foreclosure Alternatives (HAFA) initiative as a component of the Making Home Affordable Program (MHA). One of the key features of HAFA is the participating lender is required to fully release the borrower from future liability. 

Not only is it recommended that you consult with an experienced real estate professional, it is also essential to seek the advice of legal counsel and the advice of a tax professional to obtain a full understanding of options for your particular situation.  Please utilize the free resources provided here to learn more about your alternatives to foreclosure, HUD-approved free housing Counseling and Making Home Affordable ( http://www.makinghomeaffordable.gov/ ).

This information provided here is an overview. Your situation is unique and different factors will determine what opportunities and strategies will benefit you.  Understanding your options can make all the difference in the world in achieving your best possible outcome. 

IF YOU ARE NOT SURE WHERE TO START- OR NOT SURE WHAT YOU QUALIFY FOR, LET ME HELP YOU UNDERSTAND THE OPTIONS YOU HAVE.  CALL ME TODAY FOR AN APPOINTMENT AND RECEIVE A QUALITY OPINION (702) 493-1700 Direct.  THERE IS NO OBLIGATION AND YOUR CONSULTATION IS FREE... 

Will This Have Any Impact on my Taxes?

On December 20th, 2007, President Bush passed “The Mortgage Forgiveness Debt Relief Act of 2007” which allows Las Vegas Homeowners a (3) *year window to avoid paying taxes on the loss the lender takes. Before this act took affect, “If the value of your house declined, and your bank or lender forgave a portion of your mortgage, the tax code treated the amount forgiven as income that can be taxed.” According to “The Mortgage Forgiveness Debt Relief Act of 2007” if you sell your home as a short sale by December 20th, 2010, the loss the lender takes may not be considered taxable income by the IRS. *Note: Legislation enacted in October 2008 extended this relief through 2012. Thus this relief now applies to debt forgiven in calendar years 2007 through 2012.  Please check with your tax professional and let them know about “The Mortgage Forgiveness Debt Relief Act of 2007.” For more information, see www.irs.gov , and consider consulting a financial advisor, accountant, or attorney.

What do I need to get started?

When I represent you in a short sale, I make the process understandable and efficient by providing our sellers a complete short sale packet with a checklist outlining the exact requirements your lender will need. Here’s a basic idea of what to expect:

Your documentation (paperwork) will be used to evaluate if you have a hardship. Proper documentation of an existing or recent hardship is essential in getting the lenders cooperation for your requested Short Sale. You will need to supply the lender proof of your income and an accurate financial statement detailing your income and expenses, this will include recent W-2’s, pay stubs, bank statements and tax returns.

If short sale is right for you…time is of the essence! Piece of mind- You pay nothing, because your lender pays us to help you fix this problem! If we can’t solve your problem- we work for free! Be cautious of anyone wanting to charge anything- because they are charging you to do what can be done at no cost so they can make a profit on your trouble. If successful, the banks pay our fees if not we don’t get paid that’s OUR GUARANTEE!!!

Call Amber Crawford today @ (702) 493-1700

to schedule a FREE consultation regarding a Las Vegas short sale.

Amber Crawford

702-493-1700

B.S. Business Administration/ Marketing

National Association of Realtors

Short Sales and Foreclosure Resource Certified

The information contained in this site is for informational purpose only.  It is recommended that individuals considering a Short Sale, Foreclosure, Deed-In-Lieu, or Loan Modification seek independent legal and tax counsel regarding your particular situation and your rights as a homeowner.