UTAH Short Sale Myth: The bank wants a deficiency on the short sale so I can get out of it by letting them foreclose

SALT LAKE CITY, UTAH – Most people short selling their home do not want to repay the deficiency. And in most cases, the lender allows them to walk away with no deficiency.

But, that is not always the case. Some banks are very pushy when it comes to the deficiency. They won’t approve the short sale unless the borrower accepts a deficiency.


Some home sellers have told the Stop Foreclosure Institute that if the lender won’t approve the short sale without a deficiency, then they will simply allow them to foreclose on the property.

This seems like a good strategy on the surface. But, it could end up costing a homeowner even more money in the long run.

That is because the homeowner loses control over the condition of the home when it is on the market. They aren’t able to maintain the home and keep it up.

Most homes that have been foreclosed on are abandoned by the lenders. Sure, they “winterize” the homes. But, they don’t do anything to keep the homes in tip top showing condition.

This causes most bank owned homes to sell for less money. Here is something else that will cause you home to sell for less money. The buyers aren’t willing to pay as much.

Buyers know when a home for sale is bank owned. What do you think pops into them mind when they see that? “I can buy it for a steal”, they think to themselves.

This causes bank owned homes to sell for less. And if it sells for less money, then the bank will come looking for a larger deficiency payment.

This is why a short sale is usually better for you versus letting the bank foreclose and then sell the house.

Thinking about a loan modification?Our UTAH loan modification guide will show you how to reduce your mortgage payment, keep your home, and get back on your feet. Send me an e-mail at forsiecity@gmail.com to request a Free Copy.


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 utahhomesaver@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 calling me at 801.651.0707 today!

Thanks for reading this, Dave Forsberg.

Dave is a Real Estate Agent at Presidio Real Estate - Bountiful. Utah Short Sales Realtor:

Phone: (801) 651-0707.
Email: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!  Call or text me now and we can discuss all.your options!

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.

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Bountiful Short Sales: What can go bad on a short sale when you hire an agent that doesn't understand short sales

Bountiful UTAH – It always amazes me when I hear the stories of agents who talk about horrible short sales are. "Don't waste your time on a short sale", they tell homeowners.


"They are a waste of time. The lenders won't approve them and the process is horrible. The last short sale I worked on took 9 months", they say.


Discover how other sellers successfully did a short sale to avoid foreclosure by clicking here.


This gives short sales a bad name. Homeowners mistakenly believe that a short sale is impossible. I am here to tell you that is not true.


The Stop Foreclosure Institute has sold and closed many short sales. There are two keys to being successful. First, you have to understand how the process works. Second, you have to keep an eye on the transaction from start to finish.


Here is the closest comparison I can think of on why some agents hate short sales. Let's say that you are a brand new driver.


You hop into a car, accelerate to 70 miles per hours, turn on cruise control, and then start reading a book. Every 5 minutes or so you look up to check on what is going on with your car.


You aren't successful at driving a car. Your friend is thinking about learning how to drive. "Don't even think about driving a car. Driving just doesn't work and it is impossible to get anywhere", you tell them.


Is what you just said correct? Is driving a car impossible? No, it's not! But, many agents make the same claim about short sales.


They have never studied and learned the process. They have never successfully sold a short sale. But, they are sure ready to tell you that it doesn't work.


Here is what they missed about short sales.


1. You need to be knowledgeable about the process. You need to have a solid understanding of HUD-1s, BPOs, and the short sale guidelines of the entity that owns or insures the loan.


2. You have to stick with the transaction. You need to follow up with the short sale lender regularly. You can't check in on the short sale every week or two. A lender will often ask for something and want it back within 24 hours.


If they don't get what they need, then they will close the file. If you agent isn't checking in regularly, then the short sale file could be closed without their knowledge.


In addition, your agent needs to be able to make sure the HUD-1s and BPOs are accurate. I will explain what those acronyms mean and why they are important in my next post.


Ask the agent you are interviewing why they are important. Thinking about a short sale?


I can help you short sale your property and never pay the bank another penny. Send me an e-mail at utahhomesaver@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 Click here to request a copy.


Thanks for reading this, dave forsberg.


dave is a Real Estate Agent at Prudential Utah Real Estate - Bountiful. Layton Short Sales Realtor:


Phone: (801) 651-0707. utahhomesaver@gmail.com.


Greater Salt Lake Short Sales. Real Help for those that need it most.


View My homes for sale at BuyUtahNow.com.