We buy houses in Delaware, Ohio. We are local homebuyers in Delaware OH. If you’re thinking, “What is a short sale, and how does it benefit you here in Delaware?” that’s a great question! In this article, we’ll dive into that question so you, as a Delaware County homeowner, can tell what your options are during foreclosure or if your home mortgage is underwater. Most importantly, we can help you sell your house fast!
What Is a Short Sale, and How Does It Benefit You?
A short sale can be a smart way to mitigate foreclosure (here’s a great definition of what a foreclosure is in case you’re not sure) on a mortgage. Although they can be difficult to attain in today’s market, they often prove to be a simpler way to resolve any debt left over from a loan.
Short sales were really common in the market a couple years back when the flood of foreclosures hit the Delaware market, but as foreclosures have slowed down and home values have climbed back up a bit, lenders are a little less likely to offer a short sale as an option as they used to be (but they are still doing a lot of them!).
Few Reasons You May Want to Consider a Short Sale of Your Delaware Home
You Avoid Foreclosure and Its Harmful Effects
The best benefit of a short sale is that you avoid a foreclosure on your home. Your mortgage lender accepts less than what is owed on your mortgage, leaving you without the debt that you cannot afford. Foreclosure can lead to all kinds of financial problems, starting with the inability to obtain a new loan for a home because a foreclosure stays on your credit record usually for up to 7 years.
Even renting will become more difficult as your credit score would be affected, and you often have to disclose a foreclosure on a rental application. Foreclosures can also last a long time (up to 7 years as mentioned above), making you wait years to even qualify for a new mortgage.
With a foreclosure, you face all kinds of ramifications with your credit. Buying a car and renting a house may be impossible through the normal bank loan routes.
If you work with money at your job, you could even face termination if your employer puts a lot of stock in that kind of thing (most employers won’t, but it has been done before).
A short sale relieves the debt left over from what is owed on the mortgage, letting both the bank and the seller move on. A short sale is also easier on your credit score, which can allow a homeowner the ability to recover in the long run. Your credit report will only show a pre-foreclosure status, which reduces your credit rating minimally compared to a foreclosure.
Buying a New House
A foreclosure can last for a long time, making it impossible to purchase a mortgage again for up to 7 years.
Short sales offer a little more flexibility for the seller, allowing new home applications only 2 years after the filing, depending on the bank. It also makes a mortgage lender more likely to approve your loan than if you had a full foreclosure, getting you back into a home faster.
Again, this all depends on the actual bank/lender you’re working with. If they’re giving you a hard time a year or two after a short sale, shop around and find another bank to work with.
Usually No Fees Involved
One potential benefit of the short sale is that there are usually no fees associated with the process from the bank. The banks just want to get the note off of their books, and if it can be proven that your house is “underwater” (you owe more than your house is worth) and you’re at the risk of walking away from the house, the bank may rather work out a short sale instead of going through a costly foreclosure.
With a foreclosure, your mortgage lender may tack on extra fees that only make the damage worse.
Some real estate consultants may charge a fee for helping facilitate the foreclosure with your bank, so check with them before you enlist a real estate agent or firm in helping you with this.
Our company, Homesmith, may be able to guide you in the right direction on how to give yourself the best shot at a bank approving a short sale with your Delaware area house. Connect with us by calling at (614) 401-3651 or shoot us an email through our Contact page.
Getting a Short Sale – What You May Need to Provide
You will have to provide the bank with proof of being unable to pay your mortgage payments. This can be difficult and is best resolved by finding a good real estate attorney in your area that has experience dealing with this type of law.
If you don’t know who to contact or where to turn to see if a short sale may be a good option for you, get a hold of us. We won’t charge a thing to discuss your situation with you and let you know your options. We can even give you guidance and pointers at absolutely no cost or obligation.
Sometimes, we’re actually able to do the work for you or even buy the house from you to get you out from under that mortgage, so that may be a viable option for you.
Sell My House in Delaware OH
We at Homesmith are Delaware OH home buyers who work with home sellers like yourself who are having trouble getting out of your house the traditional way or can’t (or don’t want to) go the usual route of listing with an agent.
Get hold of Homesmith anytime to discuss your situation. We’re here for you! If you want to see what we can offer on your house, sell your house in Ohio directly to us. We offer cash for houses throughout the Buckeye State. Click the link below and fill out the form on the next page. We’ll make a no-obligation cash offer to you within 24 hours. At least, that way, you know whether that is an option for you.
(614) 401-3651 or (877) HOMESMITH