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Real Estate Tips
Short Sales >5. What If My Lender Refuses My Short Sale Request?

The most common reason for a lender to refuse a short sale request is loss. That is, the lender will refuse a short sale if their calculations suggest that they will lose less via a foreclosure. If this happens to you:

Step 1: Demand a written letter from the loan servicer explaining exactly why the request has been denied.
Step 2: Figure out and write down the projected losses you’ll experience if the home is foreclosed on as opposed to sold as a short sale.
Step 3: Notify the company handling the loan that if the house is foreclosed on, you will be suing them for the damages you documented in Step 2.

If you follow this procedure, you should be in the clear either way. Either your home will be sold as a short sale like you previously wanted, or you will have the potential to regain your losses after foreclosure from the lawsuit. Your best strategy for navigating the short sale process is to work with a qualified agent who can assist you. The agent will help you work through the process and/or any contingency plans.

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Real Estate Trivia
Q 
What famous American sign was originally erected as a real estate ad?

A 
The Hollywood sign, built in 1923, was conceived as a real estate ad that originally read, "Hollywoodland."
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Richard Dorn, REALTOR®, real estate agent and broker for Eureka, Trinidad, Arcata and Humboldt County, California home listings, property and land for sale - NUMBER1EXPERT(tm)

Richard Dorn
Benchmark Realty Group

818 Sixth Street
Eureka, CA. 95501
Phone: 707-476-0200
Fax: 707-445-1145
Email: richarddorn@NUMBER1EXPERT.com

GRI


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