Trusted Florida Foreclosure Defense Attorneys on Your Side
A short sale is when the bank agrees to take less than what is owed on a property sale. However, what seems like a straightforward process is anything but, especially when realtors or other mortgage brokers are only concerned with their commissions and looking out for their best interests.
Unfortunately, Florida homeowners and investors are frequently led to believe that they don’t need an attorney to make a short sale, even though the legal contracts they are asked to sign are often not in their best interest. Like any other legal contract, a Florida short sale attorney experienced in handling fast sale transactions must carefully review a short sale document to ensure that the homeowner’s rights are not violated.
Contact our Florida short sale attorney today for assistance with handling your case.
The Importance of Having a Florida Loan Lawyer Help With Your Short Sale
A typical situation happens way too often at Loan Lawyers: A client comes to our office with a collection letter stating that they owe $100,000 or another large sum of money. But, of course, they have no idea what it could be since they don’t owe anyone that much money. So the first question we ask them is if they have ever made a short sale on their home or investment property.
When the anticipated response is yes, we explain to them that the short sale is why they are being sued for such a large sum. Yet when we explain this, they are often confused and tell us that the bank or realtor promised them they wouldn’t have any further obligations under the mortgage.
That may be true, but homeowners or investors frequently need to realize that they must also be fully released from all financial obligations under the Promissory Note. The result is that these deficiency amounts of the loan that the consumer thinks the bank is waiving for them then get sold off on the secondary market, often resulting in future debt collections and lawsuits against the unsuspecting homeowners.
Benefits of a Short Sale in Florida
One of the significant benefits of a short sale is that it is an alternative to foreclosure. So, rather than having your home foreclosed upon and losing the rights to it, a homeowner can agree to sell their house for less than the amount owed on the mortgage. Of course, this can end up where the seller owes money to their lender and also requires the lender’s approval, but a short sale does provide several benefits in addition to avoiding foreclosure on one’s home.
Both Parties Are Better Off
Not only are short sales beneficial for homeowners looking for a lovely house at a lower budget, but short sales are also beneficial for the banks themselves. This is because short sales are usually the most cost-effective option for the bank despite agreeing to sell the home for less than the loan’s value.
In most cases, the bank will only approve a short sale if the current homeowner needs to catch up on their payments by several months. Instead of continuing to receive zero payments on the home, the bank prefers to try and sell the house through a short sale to at least acquire some of the loan’s costs.
The bank can foreclose upon a home instead of approving a short sale, which can disadvantage the lender. Foreclosure can be much more expensive than a quick sale because of an eviction and administrative expenses associated with the foreclosure. In addition, lenders usually have to pay a ton of maintenance and repair fees when they foreclose upon a house before they put it back on the market. Even when they return the home to the market, there is no guarantee that it will sell promptly. As a result, bankers are left having to pay all maintenance costs associated with the house until it finally sells
Not As Big A Hit On Your Credit
Sellers do not risk hurting their credit as severely with a short sale as they would with foreclosure. Because the seller’s credit does not take a considerable dive regarding a short sale, that individual can purchase another home faster than if they had to go through a foreclosure case.
Short Sale Attorneys in Florida
In addition to ensuring that our client’s rights are protected during the short sale process and in the future, Loan Lawyers has successfully aggressively negotiated and advocated for our clients by ensuring that the maximum amount of loan balance reductions are achieved. Our Florida foreclosure defense lawyers work with you to help you reach a favorable outcome.
Before you speak to the bank or a realtor about making a short sale on your property, contact Loan Lawyers today at (844) 344-4813 for a free consultation to find out how we can help negotiate your loan balance and protect your rights. We serve clients in Fort Lauderdale & Miami!
