One of the biggest questions I get from out of town buyers coming into Charleston have nothing to do with the actual house themselves, nor the ne...
Legal Implications of a Charleston, SC Short Sale - Page 8
Short sales allow a homeowner to close on the sale of property when it is worth less than the debts secured by it. Typically, the lender agrees to accept the net proceeds from a closing in exchange for releasing its lien. Lenders are not agreeing to a short sale to be generous, they are convinced that it will come out better than it would by foreclosing on the home and pursuing the borrower for its losses.
While the procedures for a short sale will vary from lender to lender, most lenders need to be convinced of the following:
The Sales Price Is Not Too Low
The sales price of contract is equal to what they would be able to sell the property for after a foreclosure. While the lender may review the market analysis provided by the agent, they will often confirm the market analysis by contacting its own sources, such as an appraiser.
All Costs Associated With The Sale
The commission for the transaction is equal to the commission it would pay its agent for selling the home after foreclosure. The lender will need to know as precisely as possible the amount of proceeds it can expect to receive from the sale.
A Good Reason They Should Accept It
The lender will want an explanation of the circumstances, which caused short sale in the first place. These usually include death, medical problems, divorce, loss of a job, or a job displacement requiring a move.
A Financial Package On The Seller
The seller doesn't have the resources to make up the mortgage shortfall on their own. The lender will require a full assessment of the financial condition of the seller. Financial statements, income and expenses, tax returns and the seller's paycheck stubs should be provided. The seller's financial condition is a tricky proposition. While the lender will be reluctant to approve a compromise without reviewing strength of the seller, this information will help the lender in pursuing the seller for a post-foreclosure deficiency if the short sale does not take place.
So What Is The Risk?
A seller with few assets, little or no income, and a willingness to file bankruptcy has little to lose by providing this information. Those with other assets, a good job with garnishable wages, or a desire to avoid bankruptcy will put themselves at risk in the process. Those considering a short sale need expert legal advice regarding the wisdom of submitting financial information to the lender.
Displaying results 71-76 of 76
3334 Porchview Place
Johns Island, SC 29455
The villages in st johns woods
Beautiful home in the villages in st johns woods located on one of the larger lots on the horseshoe across from the 3/4 acre park with gazebo. h...
4180 Legacy Lane
Meggett, SC 29449
Deep water .. private dock .. full front porch .. 2-stry vltd great rm w/wet bar/built-ins/fireplace .. oak flrs .. dining area .. eat-in kit w/cor...
212 Royal Assembly Drive
Charleston, SC 29492
Back on the market with an approved short sale price! southern elegance at its finest! this gorgeous 5 bedroom 5.1 bath home is ready for a new fam...
224 King George Street
Charleston, SC 29492
Daniel island park
-located in daniel island park on a peaceful tree-lined street sits this beautiful home offering an interior with exquisite designer appointments, ...
61 Tradd Street
Charleston, SC 29401
South of broad
This is a rare opportunity to purchase a handsome and very distinguished 18th century masonry home in the heart of downtown charleston. a true hist...
90 Ashley Avenue
Charleston, SC 29401
This historic charleston home was built in 1838 and sits on nearly 1/3 acres of meticulously manicured gardens and grounds. the front was rebuilt i...
Full MLS Access
Find homes for sale and explore any area of Charleston by using the links below.
Active Homes for Sale
Buying a home from you was like buying from a family member. You were honest, straight-forward and I could tell you were really looking out for my best interests at every turn. Beth Epstein
Well your low key approach worked. Not only did you sell our house in this challenged market in 23 days, you found us a great new home and the transition was seamless! We are really happy in our new home. Brian and Wendy Rollings
You were very honest, direct and I knew you were genuine when you talked us out of buying a house because of the location. Thanks for everything!. Kirk Matenaer
I commend you particularly for politely putting up with my sometimes cantankerous, if not outright offensive, goading for results; I now realize I was in excellent hands all along, and I could not have asked for better or more courteous direction in the whole process. Dr. Adam Smolka
Your research and explanation of the entire process left us feeling confident in your abilities to follow through and get the deal done like it should be. Bill Chakos
Your experience, your calming demeanor and your ability to consult us in such a streamlined fashion was invaluable. Tonya Chakos
We sincerely believe Nat's competence, hard work, attention to detail, and most important his immediate action were the reasons our home sold in one day. We are now able to make plans to relocate. Victoria and Daniel Doyle