When is it TOO late to try for a short sale?

Let us help you work through your housing problem.

Kalamazoo-Portage MI –  There are some times when it makes no sense to even try for a short sale.  That is the case in these two situations.

1) The lender is not willing to consider a short sale.
2) There is not enough time to find a buyer, negotiate a short sale and get the home closed for the buyer.

One: Some Lenders Will Not Short Sale During the Redemption Period

Figuring out which lenders will not short sale during the redemption process is a bit of a moving target as the lender guidelines sometimes change and the procedures are bank specific.  Currently, a short sale is impossible if it’s a government-backed loan (FHA, VA, USDA).  The Veenstra Team can help you determine this.

Two: Not Enough Time To Sell the House and Close

If a house gets close to the end of the redemption period the chances of successfully closing the short sale dramatically go down.  When you are near the end of the reemption period the lender is less motivated to take a discount off of fair market value since they will soon be gaining possesion themselves and they have hopes that they will get fair market value when they put the home on the market themselves.  The earlier in the foreclosure process that you try to negotiate a short sale, the better.  Think about it.  The lender is loosing money every month the house payments are not made.  If the home is sold before it is foreclosed, then the lender will also be able to save many of the costs of maintaining and holding the property once it is foreclosed.   Though the homeowner may beleive it is to his/her advantage to draw out the process as long as possible,  there is some advantage to working with a REALTOR to short sell the home earlier in the process.  Remember that a short sale does not ding the homeowner’s credit as  much as a foreclosure does, so talk to the Veenstra Team early on if you are having trouble paying your mortgage.

Remember when a REALTOR helps you short sell your home you still need to have time to find a buyer, negotiate a short sale, and allow the buyer time to close.   The Veenstra Team is only able to help with a short sale if there is adequate time to find the buyer and work through the steps.  We do work with some investors that are able to move rather quickly in the right situations, so it will not hurt to give us a call to see whether we believe we can attempt the short sale.

It is important for the homeowner to be working with a skilled short sale REALTOR also because there are many steps that should be taken to make sure that the redemption period does not get shortened by the lender so that the short sale does not have enough time to progress.  Working with the Veenstra Team increases the chance that there will be a successful short sale.

Thanks for reading!
Your Kalamazoo Real Estate Short Sale Team
Jason Veenstra, Kalamazoo REALTOR
David Veenstra, Kalamazoo REALTOR

Call us at  (269) 350-5514. CLICK HERE TO EMAIL US.

Providing Solutions for Home Owners in Distress

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The Veenstra Team specializes in helping homeowners STOP Foreclosure, and short sales in Kalamazoo Michigan.

Contact the Veenstra Team to STOP Foreclosure and short sales in any of the communities surrounding Kalamazoo; including Kalamazoo short sales, Portage short sales, Mattawan short sales, Oshtemo short sales among others. Of course, we are also able to help home buyers in the greater Kalamazoo area and home sellers in the greater Kalamazoo area purchase or sell any Kalamazoo homes, Kalamazoo income property, Kalamazoo Lake Homes, Kalamazoo Executive Homes, or Kalamazoo resort homes. We offer specialized services for Kalamazoo senior citizens and children with aging parents seeking Kalamazoo real estate information. We also offer free Kalamazoo relocation packets, Kalamazoo tours and specialized services for people who are moving to Kalamazoo. For families moving anywhere else in the US or Canada, we offer Free Nationwide Relocation Services and free REALTOR referral.

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