Short sales allow a homeowner to close on the sale of property when it is worth less than the debts secured by it. Typically, the lender agrees to accept the net proceeds from a closing in exchange for releasing its lien. Lenders are not agreeing to a short sale to be generous, they are convinced that it will come out better than it would by foreclosing on the home and pursuing the borrower for its losses.
While the procedures for a short sale will vary from lender to lender, most lenders need to be convinced of the following:
The Sales Price Is Not Too Low
The sales price of contract is equal to what they would be able to sell the property for after a foreclosure. While the lender may review the market analysis provided by the agent, they will often confirm the market analysis by contacting its own sources, such as an appraiser.
All Costs Associated With The Sale
The commission for the transaction is equal to the commission it would pay its agent for selling the home after foreclosure. The lender will need to know as precisely as possible the amount of proceeds it can expect to receive from the sale.
A Good Reason They Should Accept It
The lender will want an explanation of the circumstances, which caused short sale in the first place. These usually include death, medical problems, divorce, loss of a job, or a job displacement requiring a move.
A Financial Package On The Seller
The seller doesn't have the resources to make up the mortgage shortfall on their own. The lender will require a full assessment of the financial condition of the seller. Financial statements, income and expenses, tax returns and the seller's paycheck stubs should be provided. The seller's financial condition is a tricky proposition. While the lender will be reluctant to approve a compromise without reviewing strength of the seller, this information will help the lender in pursuing the seller for a post-foreclosure deficiency if the short sale does not take place.
So What Is The Risk?
A seller with few assets, little or no income, and a willingness to file bankruptcy has little to lose by providing this information. Those with other assets, a good job with garnishable wages, or a desire to avoid bankruptcy will put themselves at risk in the process. Those considering a short sale need expert legal advice regarding the wisdom of submitting financial information to the lender.
Modify Search Criteria
1400 Ocean Boulevard UNIT 307b
Isle of Palms, SC 29451
Oceanside
Residential
MLS# 24011192 / Active
Walk to the beach, dining and live entertainment. This 3rd floor unit has a balcony with ocean breezes, 2 spacious bedrooms, 2 full baths and an op...
369 Baritone Road
Summerville, SC 29486
Nexton
Residential
MLS# 24011172 / Active
Welcome to your dream home in the heart of one of Summerville's most coveted and award winning communities! This stunning 3-bedroom, 2.5-bathroom r...
Reduced -$10,000
3 Seagrass Lane
Isle of Palms, SC 29451
Wild Dunes
Residential
MLS# 24011147 / Active
Great marsh front lot at almost a third of an acre located on a tidal marsh and ready for your new custom home! This plan is a proposed constructio...
3915 Ladson Road
Ladson, SC 29456
Residential
MLS# 24011142 / Active
Welcome to your ideal live-work oasis nestled in a flourishing community! This expansive 0.93-acre property offers a harmonious blend of residentia...
Reduced -$25,000
100 Noisette Row
Summerville, SC 29483
Noisette Row
Residential
MLS# 24011119 / Active
The Eisenhower floor plan, a stunning new home that seamlessly combines modern design with spacious living. Spanning 2297 square feet, this luxurio...
Reduced -$4,900
9418 Sweep Drive
Summerville, SC 29485
Wescott Plantation
Residential
MLS# 24011109 / Active
This beautiful townhouse is nestled in the lovely neighborhood of The Farm at Wescott. As you walk through the door, you are greeted with laminate ...
Reduced -$15,000
3573 Crosstrees Lane
Mount Pleasant, SC 29466
Carolina Park
Residential
MLS# 24011105 / Active
3573 Crosstrees Lane is located in the highly sought after community of Carolina Park. This Whitham floor plan was constructed by David Weekley Hom...
Reduced -$50,000
579 Flannery Place
Mount Pleasant, SC 29466
Alston Point
Residential
MLS# 24011085 / Active
Create your coastal sanctuary on over an acre of prime Mount Pleasant real estate! Nestled along the marshfront, this idyllic homesite is tailor-ma...
265 Coming Street UNIT A
Charleston, SC 29403
Elliottborough
Residential
MLS# 24011082 / Active
Introducing a New Era of Sophistication - Step into a realm of timeless elegance with this meticulously crafted brand-new home. Seamlessly marrying...
5638 Attaway Street
North Charleston, SC 29406
Charleston Farms
Residential
MLS# 24011063 / Active
5638 Attaway Street offers a unique opportunity to own a property currently listed as a successful Airbnb, complete with a modern mother-in-law sui...
Reduced -$7,099
310 Gladden Ln Lane
Cross, SC 29436
Residential
MLS# 24011050 / Active
Welcome to this charming manufactured home nestled on a serene one-acre lot, offering a peaceful retreat at the end of a quiet road. Built in 2009,...
614 E Cooper Avenue
Folly Beach, SC 29439
Residential
MLS# 24011046 / Active
Nestled among mature oaks and magnolias in the island interior, this spacious home feels like a treehouse! 614 E Cooper is a rare, spacious duplex ...
215 Breckingridge Drive
Ladson, SC 29456
Summer Park
Residential
MLS# 24011043 / Active
Welcome to your dream home nestled in the serene Summer Park subdivision of Ladson! This spacious 4-bedroom, 2.5-bathroom residence offers the perf...
Reduced -$10,000
33 Lockwood UNIT I-29
Charleston, SC 29401
The Harborage At Ashley Marina
Residential
MLS# 24011023 / Active
Slip I-29 is 55ft x 18ft T-Head that can accommodate a 55-foot boat. The Harborage at Ashley Marina has IPE docks, 30 and 50 amp electrical with 30...
Reduced -$10,000
2751 Tyler Street
North Charleston, SC 29406
Deer Park
Residential
MLS# 24011021 / Active
COMPLETED BRAND NEW HOME. Beautiful open floorplan home in cul-de-sac location. Low maintenance LVP floor on main level and loft. Stainless steel a...
4072 O'Hear Avenue UNIT #6
North Charleston, SC 29405
Cooper River Townes
Residential
MLS# 24011010 / Active
Minutes from Park Circle and Riverfront Park, The Fenwick is a drive under townhome with a 2 car tandem garage loaded with upgraded features All IN...
Reduced -$30,000
4070 O'Hear Avenue UNIT #5
North Charleston, SC 29405
Cooper River Townes
Residential
MLS# 24011004 / Active
The ONLY BRAND-NEW, MARSH VIEW Townhome Opportunities literally a 2-minute drive to Mainstreet Park Circle! This end unit Fenwick is a drive under ...
Reduced -$30,000
142 W Mariners Cay Drive
Folly Beach, SC 29439
Marshview Villas
Residential
MLS# 24010992 / Active
Remodeled top floor condominium in gated Mariners Cay - See the water and smell the salt air. Walking distance to Folly Beach! This 2 Br/ 2 Ba unit...
4074 O'Hear Avenue UNIT #7
North Charleston, SC 29405
Cooper River Townes
Residential
MLS# 24010986 / Active
The Fenwick is a drive under townhome with a 2 car tandem garage loaded with upgraded features All INCLUDED in the list price but not limited to: O...
Reduced -$30,000
4009 Ballovista Lane
Johns Island, SC 29455
Johns Island
Residential
MLS# 24010985 / Active
Deep water with quick access to the open waters of the Atlantic Ocean awaits at 4009 Ballovista Lane! Situated just off of Bohicket Road, this is a...
Reduced -$10,000
4313 Lady Banks Lane
Ravenel, SC 29470
Poplar Grove
Residential
MLS# 24010964 / Active
Welcome to this exquisite home nestled on a private .74-acre wooded lot within the prestigious gated community of Poplar Grove. Boasting 5 bedrooms...
Increase +$51,000
The data relating to real estate for sale on this web site comes in part from the Broker ReciprocitySM Program of the Charleston Trident Multiple Listing Service. Real estate listings held by brokerage firms other than EXP Realty LLC are marked with the Broker ReciprocitySM logo or the Broker ReciprocitySM thumbnail logo (a little black house) and detailed information about them includes the name of the listing brokers. Last updated on 09-20-2024 1:25 PM EST .
The broker providing these data believes them to be correct, but advises interested parties to confirm them before relying on them in a purchase decision.
Copyright 2024 Charleston Trident Multiple Listing Service, Inc. All rights reserved.