What is a Short Sale?

A short sale is when a home is being sold for less than what is owed on it. There are several reasons to do a short sale, so let's take a look at a few.

What is the short sale process?

The first thing to consider is using a Realtor who understands and knows short sales. There is negotiating required with the lenders, and it will be wise to use someone that knows what they are doing. The steps - in shorthand - are:

What does a short sale cost?

Since you are selling your home for less, the short sale shouldn't cost you anything, as far a real estate commissions are concerned. The lenders understand that you probably don't have any cash to contribute.

That said, sometimes the lender requests that you come in some cash, maybe just for the reason to make you feel it also. A good short sale negotiator should get you out of this.

What to look for.

There are a few things that can happen with a short sale that you need to know. Not being prepared can cost you a ton of money.

Short sales are a good option if used properly. Just make sure you have a qualified Realtor to guide you.