I can put you in contact with my lender who has helped clients get loans with FICO scores in the 590-640 range. The only way to know is to make the call and discuss your options with a professional. If you would like my lender's information or need any assistance with your real estate needs, give me a call.
Realtor Â® | NRDS ID# 214008685
PH: 626-319-6137 | DRE# 01931710
Real Estate Heaven
There is a lot of information that REO Agents are requiring with your offer like FICO Scores, Earnest Money Deposit, Pre-Approval/ Proof Of Funds. Another is having the best offer on the table. I can greatly hepl you through this process by refering to my website at http://www.vgrouphomes.com/atj/user/AdditionalGetAction.do?pageId=197987 where you will get started on buying your home. Any answers you may have can be easily found on my website as well.
John & Sarena Villaescusa
Keller Williams Realty
Website: www.VGroupHomes.com... more
For anyone else who may have this question, here is food for thought.
Unfortunately most Realtors don't have the education or training to answer this question. But to sum it up quickly, You need a Realtor that can analyze your financial situation, show solutions to minimize your financial loss and limit the damage to your credit history. This will shorten the time it will take to recover from the hardship and repair you credit history.
I offer anyone in the North Los Angeles area free consultations. By doing alittle homework you can verify the information I provide and you won't have pay attorney fees or loan modification fees. Go to my website at www.riccosellshomes.com and click on the Short Sale FAQ's link. You can also read some of my blogs here on trulia... more
In answer to your question and based on my experience doing short sales:
1. You do not have to be behind in your payments to negotiate a short sale. You just have to show that making your payments is not a sustainable option.
2. Those who tell you that banks won't speak to you if you are current on your mortgage are buying into an 'old wives tale'. The clerks in the Loss Mitigation department like to tell you that, but the higher ups don't require it, in most cases.
3. More and more, banks want to work with you to keep you from becoming delinquent in you payments during the short sale process. One of my clients got a forebearance from the lender for 2.5 months. The terms were NO payments, NO negative reporting to the credit bureaus, NO late charges, NO default interest charges, NO collection or legal fees, NO foreclosure proceeding.
4. A short sale is all about negotiating. You can't get what you don't ask for. I have been asked, how did we get the forebearance. Answer: ask and negotiate.
5. A short sale is basically an agreement from your lender to take less than what is owed as payment in full for your loan. Therefore, any payments that you make during the short sale process are basically to reduce the negative impact on your credit score and show good faith. (Then again, if you have a forebearance, this is a moot point.)
6. Negotiate, negotiate, negotiate and ask for the moon. Make sure your Realtor knows how to do this, is tenacious and persistent, and knows when to push and when to give the lender time. Then have patience yourself while the process works its way through.
Now that I have answered your question, I am wondering, what has brought you to the conclusion that a short sale is your only option. As a home retention consultant, I work with people to explore ALL their options for saving their home and / or their credit. I would be happy to speak with you directly to explore the options that fit your specific circumstance, no charge, no obligation and also no promises. If you could find another solution, would you take it? Dare to Dream.
Real Estate Consultant
RE/MAX Palos Verdes Realty... more