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Wazupwiththat, Renter in Whitefish Bay, WI

Short Sale question!!!!

Asked by Wazupwiththat, Whitefish Bay, WI Thu Jul 26, 2012

When negotiating with a bank for a short sale approval, what is the DTI threshold to prove that you have a financial hardship when I'm relocating out of state for a job?

Help the community by answering this question:


The DTI threshold will vary from bank to bank. The best thing to do is to provide them a complete financial profile.

Make sure and list all your debts no matter how small.

The fact that you are relocating for a new job, may not be a good enough rational for a short sale approval.

Best of luck to you.

Kawain Payne, Realtor
0 votes Thank Flag Link Mon Sep 24, 2012
Hello. It all depends on the lender. Each servicer has a different quota. However, most short sales have differing criteria as far as what is termed hardship... this could also be an imminent hardship in the future because of upcoming circumstances. Your listing agent needs to know how to convey this to your lender. Good luck on the move and hope it is for your benefit.
0 votes Thank Flag Link Sun Jul 29, 2012
Short Sale Answer
Lenders are not always allowing the i have to move out of state deal.
Most are only allowing the I'm out of work and flat broke thing.

Don't forget to vote best answer for those who give the best answer.

Harold Sharpe - Broker
So Cal Homes
(951) 821-8211
California Department of Real Estate Broker License # 01312992
0 votes Thank Flag Link Sat Jul 28, 2012

It is more than a specific DTI. Feel free to contact me directly. I have had experiences with clients in similar situations. Here is one of my articles: http://activerain.com/blogsview/2188808/possible-foreclosure…

Good luck,
Sara Mehrpouyan CDPE Certified Distressed Property Expert
Direct 818-903-2040
Dre License #01712757
Rodeo Realty
0 votes Thank Flag Link Thu Jul 26, 2012
I recently closed a short sale with same situation as you describe. I handle all, including helping moving their home contents as they already moved by the time it was approved. There are different scenarios and each case is different; however the knowledge and experience did the job very well here. Your life will be better after it's done.
You may contact me directly for any question or help,

Ronit Bendavid,
Specialized in Short Sale & the approved expert by HUD (Housing dept.HAFA and Redfin.com in SFV
Realtor, Certified E-Pro,
GRI (Graduated Realtor Institute, national),
ABR (accredited buyer Rep) & SFR (Short sale)
Voted Favorite Realtor by Daily News Readers every year since 2005 and now 2011 too!!!
Pinnacle Estate Properties
18653 Ventura Blvd Suite 704
Tarzana, CA 91356
Office: 818-330-3333
Fax: 818-274-5910 / 888-220-3434
DRE # 01311212
0 votes Thank Flag Link Thu Jul 26, 2012
I have seen where relocating over 100 miles for employment reasons is considered hardship on its own. What lenders will or not approve continue to change. Find an experienced Realtor and give it a try.
Good luck,
0 votes Thank Flag Link Thu Jul 26, 2012
You need a professional looking at your specifics.
0 votes Thank Flag Link Thu Jul 26, 2012
That could vary. To put i simply you have to have more money going out than coming in while showing true hardship and reason for your loss of income.
0 votes Thank Flag Link Thu Jul 26, 2012
Are you saying DTI threshold is 100%? When you say true hardship, what exactly do you mean by that? In my case, I'm relocating out of state for a job voluntarily and I have sufficient income to pay two mortgages if I use 100% DTI threshold. Please advise.
Flag Thu Jul 26, 2012
Are you in Los Angeles? Your ID shows WI.
There's more to it than just the DTI.
We're you unemployed and relocating because you got a new job out of state?
Have you written your hardship letter? Have you provided all the documents necessary? Do you have an offer to present to the lender? Does the lender have a BPO for your property?
Theres a lot to know even though it looks like a simple question but to answer it and give you direction some more detail would help.

Good luck
0 votes Thank Flag Link Thu Jul 26, 2012
I'm in the process of relocating from CA to WI. I'm currently employed. I'm voluntarily relocating from CA to WI for a job with different employer. Hardship letter and documentation? Not quite yet as I'm still at the very preliminary stage.
Flag Thu Jul 26, 2012
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