What is a short sale?

Get Legal Help Today

 Secured with SHA-256 Encryption

What is a short sale?

My real estate agent suggests that we do a short sale of our property where we owe more on the loan than what the property is worth. How do you do a short sale?

Asked on June 29, 2012 under Real Estate Law, California

Answers:

S.J.H., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

A short sale is when you sell the property for less than the total value of the mortgage(s) on the property. In order to do this , you must get the mortgage company or companies to accept less than the amount left on the mortgage. They then reduce the lien on the property in order for you to get clean title. Depending on the bank, you may or may not be responsible for any shortage after the closing but usually they allow you to wipe it out. There are special real estate brokers and attorneys who specialize in short sales. I suggest you consult one.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption