Thanks to the hard work of Julien Moliere, licensed real estate agent with Exit All Seasons Realty, another one of my clients owing more than $550,000 combined on their first and second mortgages and facing foreclosure, was able to close on the sale of their home today for $345,000 with their lender accepting the total of $315,000 for payment in full of their debt. Although the clients did not receive any proceeds from their sale, they left the closing table very appreciative in the fact that they were no longer responsible to pay this mortgage.
Having represented many sellers on short sale transactions in the past few years, I have come to expect that the time frame for the completion of such a sale is usually between 4 to 8 months to accomplish. The fact that this transaction was completed in 3 months was an added benefit to all involved. This enabled the buyer to protect her mortgage rate in addition to letting the sellers move on with their lives sooner than later. As I left my office to attend the closing, I wasn’t sure what to expect in terms of the time it would take to complete the closing. My experience has been to prepare for at least 3 to 4 hours to complete such a closing. In fact, the closing took a little over 2 hours to complete. The key factor in getting this accomplished quickly was to make sure that a Settlement Statement (HUD 1 Statement) was prepared and approved by the payoff bank in advance of the closing and that the letter from the payoff bank reflected the acceptable payoff and the fact that they have approved the HUD 1.
There is no question that there will be many more short sales in the upcoming months and years. With the right team of professionals on board, I am hopeful that the Short Sale success stories will continue to flow!
Do you have any Short Sale success……or horror stories you would like to share? If I can be of any service to you or your clients, just let me know.