A Charlottesville short sale is when a seller owes more on their home than what they can sell it for in today’s real estate market. The seller must negotiate with their lender(s) to accept a payoff less than the balance due on their mortgage(s).
The seller still owns the home in a Charlottesville short sale listing. The seller has the right to accept or decline any offer. However, the seller’s acceptance of an offer must be contingent on lender approval. Once there is an executed contract between the buyer and seller it is submitted to the bank(s) for lender approval.
This is when the waiting that’s typically associated with a short sale begins. In my experience, the more lien holders involved the longer the review process since every lien holder with a financial interest in the property typically must agree to the short sale. Examples of some junior lien holders that could complicate a Charlottesville short sale transaction are second mortgages, HELOC lenders, HOA and tax liens. The lien holder(s) can either accept, counter, or decline the short sale offer.
Clearly, a Charlottesville short sale is not like a regular real estate transaction. It requires specialized training and knowledge. Hiring an experienced Charlottesville short sale agent can make all the difference in achieving a successful short sale transaction.
Do you think you need to list your Charlottesville area home as a short sale? Don’t wait, call Allegra Williams at 434.882.1055 for a FREE confidential phone interview to discuss your options.
The content provided is for informational purposes only. We can not give legal or tax advice. It is highly recommended that you consult with an attorney and tax accountant regarding the specifics of your situation to determine the best option for you.
Photo Credit: SMJJP on Flickr (CC BY 2.0).