See The Starners for Real Estate / Serving Northeast Florida

Working With The Lender

To request a short sale, the owners typically present the lender with evidence of financial hardship and a current market estimate of the home’s value. Any potential sale is contingent on the lender’s approval.  

There are several reasons a lender will accept a short sale by owners facing a financial hardship:
• To avoid the cost of a foreclosure

• To avoid increasing its home inventory, usually called real estate-owned (REO) properties.
• New homes in the area are selling faster than existing ones.
• The area or neighborhood has depreciated in value.
• The property is in poor condition.

There are Financial Implications. Sellers should be encouraged to contact an attorney, tax advisor or financial planner for advice on the financial implications of the sale relating to debt forgiveness.