Mortgage company accepted the short sale.....

[freshstart32]

I just talked to the investor working on our short sale and the mortgage company accepted the short sale!!!! I am soooo happy!!! By this Friday it will be one less thing I have to lose sleep over!!!!

[chpxiii]

sweet!!

[HHM]

Nice, out of curiosity, what was the percentage of discount off the principal balance owed.

For example, if you owed $250,000 and the bank accepted $200,000, that would be 20% discount.

[freshstart32]

If I figured it right which I think I did....it was a 30% discount.

[dscurlock]

I just talked to the investor working on our short sale and the mortgage company accepted the short sale!!!! I am soooo happy!!! By this Friday it will be one less thing I have to lose sleep over!!!!

how much did you owe on the house, and
how what amount did they agree to sell?
I might have to consider this option.

Thanks

[freshstart32]

We owed $142,000 and they accepted right at $100,000. Like I said though we had an investor that we sold the property to and he does the rent to own once he gets ownership so he handled everything. We only talked to the mortgage company a few times and I have to say it was hard and it takes awhile. It has taken 3 months of negotiating and paperwork and all that garbage to get them to finally accept it so it's not a fast thing that is for sure and you never know how or if they will accept it. I am just so glad they did so I don't have a foreclosure on my credit report! Good luck if you do try to do it! I mean in todays market I say it's worth a shot. If you are facing foreclosure.....what does it hurt.

[HHM]

Nice, that represents a 29.5% discount. That's actually a little higher than average, most banks won't accept more than a 25% discount. I wonder if there was any back-end deal the investor made with the bank.

Let me ask you this...had foreclosure started or were you behind on any payment when you started the process.

One lesson anyone contemplating a short sale should take away from this example is how long it takes. Thus, a short sale is probably not going to be an option to bail you out of a foreclosure that has already begun and you are close to the actual sale date.

[freshstart32]

Well we actually had our house on the market for awhile and had NO bites, NO interest, NO showings absolutly NOTHING! It was mainly because we had gotten screwed on a bad refi the year earlier and we owed more than what houses were going for in our area. About $20,000 more. When I went and talked to our bankruptcy attorney about filing he gave me this investors phone number and he came out and talked to us about the whole process. Basically since we were going to file bankruptcy and basically let the house go back he said he could help do a short sale. Our house was only 6 yrs old and in awesome shape. No repairs or anything needed so he wanted it. At that time we had not missed a payment and we were instructed to quit paying on the mortgage because he said that since we were going to foreclose on it because we didn't want it anymore and honestly couldn't keep forking out the monthly payment just to stop paying. So we did and we had only missed 3 payments but with the threat of our bankruptcy filing and them knowing that we weren't going to do anything to keep the house, I think that is why they went for it. Honestly I don't know. He has never had but one bank ever tell him they didn't want to do a short sale. He has really good success. It is worth it if you do it at the right time and you have to get an investor you can trust and that will really work in your best interest.

[freshstart32]

By the way we were headed to foreclosure. We had gotten threatening letters in the mail from the mortgage company etc and we were just to the point where they were getting ready to turn it over to their lawyers. I think if you are in a situation or point in time like we were where it's early enough.....that really helps out. But it does take time to do the whole process. It's not an overnight thing!