There is no reason a short sale should be denied. First of all, missing payments makes the bank take notice. So, being current does not help you. Missing payments is not great for your credit, but the short sale will hit your credit anyway. Even worse, if this doesn't get done right, then a foreclosure will hit your credit.
I would suggest you move, as you want, to be closer to your job. If you can qualify for a loan, go ahead and buy, if you see something you like. If not, just rent. Once you move, your financial picture will be totally different and you will no longer have a positive cash flow. So, once you're behind on payments, and have a negative cash flow, you are much more likely to get approved for a short sale.
Short sales are a long process. You really need an experienced professional to get it done for you. We are closing many Bank of America short sales. Please call us directly to discuss your specific situation. Our services are FREE to homeowners. We look forward to hearing from you.
Eli Givoni, Director
Short Sale Department, LLC
Serving all 50 states
B of A switched my negotiator 3 x and then finally said no because we had positive monthly income. It is a strange posistion to be in because if I didn't take the job, I would lose the house becasue my unemployment was about to end. I feel stupid because I felt that the bank would be more willing to work with a good customer who tried to do everything possible to keep my payments up and on time. In the end it didn't matter one bit. I should have just let it go into foreclosure 2 years ago when I lost my job the first time.
Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
We process and close many short sales, and one thing remains true ... Bank of America almost always do things that defy logic! We just closed a BofA short sale yesterday and it would take me an hour to brief you on that one.
In that particular closing, there was a documented hardship of relocation, and we got it closed. We partnered with a real estate attorney who was further able to see that the pursuit of a deficiency was waived.
SO ... you are doing the right thing in meeting with an attorney. Just be sure they have experience in situations like yours ... and hopefully the agent you have handling the listing has a lot of experience and education in it, also.
Best to you and keep us posted.
Generally speaking, if you are making your payments there is no real incentive for the lender to consider other alternatives because in their eyes you can afford the mortgage.
You have done all of the things that we would recommend including meeting with an attorney. Let's hope the insight he/she provides you with on Monday can make a difference for you.
I was told I do not qualify for HAFA and the offer of 110K was 6K more than the same house in my sub sold for 2 months earlier. I even told my lended that if the offer was a few thousand short, I would pay it. I basically told them they can have all the money in my savings. All $ 4216.22! I am trying to do this the correct way and minimize my credit hit but they do not seem to care