Salt Lake City, UTAH – No one wants a deficiency on a short sale. It’s not your fault the housing market crashed. In fact, some people say that the banks and Wall Street are what caused the crash.
Here are four ways that you can reduce the deficiency amount on your short sale.
1. Negotiate with the lender. Many lenders will settle for substantially less than what they are owed. For example, we have seen lenders settle for as low as 10 cents on the dollar.
In one case, the lender lost over $100,000 on a short sale. They settled with the home owner for a $10,000 promissory note to be repaid over 10 years with zero interest.
Lenders will reduce the amount to settle for over time. They know that the longer they go without being paid, then the less likely it is they will ever be repaid at all. They agree to settle because they know that something is better than nothing.
2. Declare Bankruptcy. If your bankruptcy is approved, then you may be able to have all of the debt erased in a Chapter 7 Bankruptcy.
The problem is that not everyone qualifies for bankruptcy. The bankruptcy laws were changed in 2005 and made it much harder for the average American to qualify for bankruptcy. Talk to a bankruptcy lawyer to see if you qualify. You may not meet the Bankruptcy “Means Test.”
3. Hire a good attorney. Find a good attorney that specializes in defending consumers from collections. Your attorney may be able to find a loophole in the law that makes the debt invalid.
Be careful that you find a lawyer that specializes in this category of the law. You don’t want to pay an attorney to learn on your dime. There are a lot of great lawyers that can help you.
4. Fight the lender’s collections on your own. This is much easier when you genuinely do not have the money to pay. Many people are just scraping by.
Every dime they make is being used towards paying rent, car payments, utilities, and food for your family.
Most states will not allow a creditor to take food out of your mouth.
You can check with a good attorney to find out the laws in your state. There are also legal aid non profits that can give you advice on what to do to stop a garnishment or bank account seizure.
Thinking about a short sale? I can help you short sale your property so you can move on with your life. Send me an e-mail at forsiecity@gmail.com. I will contact you for a free consultation.
When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at (801) 651-0707
Discover how other sellers successfully completed a short sale and request a free consultation by call me at 801.651.0707
Thinking about a loan modification? Our Utah loan modification kit has the instructions you will need to get a loan modification approved with your bank.
Thanks for reading this, Dave Forsberg.
Dave is a Real Estate Agent at Presidio Real Estate Utah Short Sales Realtor:
Phone: (801) 651-0707. Forsiecity@gmail.com.
Greater Salt Lake Short Sales. Real Help for those that need it most.
Need to sell immediately? We buy homes in ANY CONDITION and close in 7 days or less call me at 801.651.0707 right now
David Forsberg specializes in loan modification assistance and short sales in Bountiful Utah. Bountiful Loan Modification Help, Bountiful Short Sales. Bountiful Short Sale Realtor Bountiful UT Short Sales. Bountiful Realtor.
Important Notice
Dave Forsberg, Presidio Real Estate and the Stop Foreclosure Institute are not affiliated in any way, shape, or form with the government. Our services have not been reviewed or endorse by the government or your lender. Most lenders willingly work with agents on short sales. Why?
Because most short sales are beneficial to a lender. If you accept our offer to help you on a short sale, your lender may not agree to a short sale or to modify your loan. We do offer a loan modification kit.
However, the likelihood of negotiating a modification is like everything else in life. It takes work and persistence to convince your lender to modify your loan. No matter what you or we do, your lender may not approve a loan modification.
We do not recommend that you stop paying your mortgage, because this will cause damage to your credit and could cause you to lose your home. Because we know avoiding foreclosure is so important to any homeowner, we recommend that you speak with the appropriate legal or tax advisor before making any decision.
This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing.
You have the option to reject a short sale or loan modification from your lender if it does not meet your approval. If you decide not to go thru with the short sale, then you do not have to pay us our fee. We normally make a real estate sales commission for helping you on a short sale.
The views expressed here are Dave's personal views and do not reflect the views of Presidio Real Estate - Bountiful.
This information on Three Ways To Reduce Your Bountiful Short Sale Deficiency is provided as a courtesy to our viewers to help them make informed decisions.
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