What is a short sale?

A short sale is a real estate transaction where the homeowner sells their home for less than the amount still owed on their mortgage. This usually occurs when a homeowner is having trouble keeping up with their mortgage payments and cannot afford to pay off the remainder of their loan. In California, a short sale must go through a formal legal process. The homeowner must contact their lender and explain their financial situation, then get the lender to agree to a short sale. The homeowner must then sign a number of documents legally authorizing the sale. The lender will also typically require an appraisal of the home, to make sure they will be getting fair market value for the sale. Once all these steps have been completed, the home can then be listed and sold at the agreed-upon price. The process of a short sale can be complex, so it is important to have an experienced residential real estate lawyer working with you throughout. This lawyer can guide you through the legal process and make sure that everything is done properly. They can also help you negotiate with the lender to ensure you get the best possible deal.

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What is a short sale?

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