Salem Oregon Short SalesSeller’s Tips for Preparing for a Short Sale

Tips to help you get prepared for selling your home through a short sale from your Salem Oregon Real Estate Agent.

If you are behind on your payments, and have determined that selling your home as a short sale is the best alternative for you, your real estate agent will need your help to put together a short sale packet for submission to your lender once an offer is received.   The following is a list of some of the documentation that may be required by the bank to get your short sale accepted.

1.  Hardship Letter

This is best hand written.  This is your letter to the bank explaining why you can no longer make your payments.   Some reasons may include:

A.  You or your spouse losing your job

B.  Divorce

C.  The interest rate adjusting on your mortgage

D.  Death of a spouse or immediate family member

E.  Serious medical issues

F.  Job transfer to a new location

2.  Financial Disclosure

Some banks will have their own forms for this.  Basically, this is an accounting of all of your monthly outgoing expenses and your monthly income.

3.  Pay Stubs-Proof of Income

4.  Last 2 Bank Statements

5.  2 Years Tax Returns With W2’s and 1099’s.

6.  Letter of Authorization for Third Party Approval.

This is a signed form that gives the bank permission to discuss your loan details with your real estate agent.

7.  Utility Bills-2 Months

Your lender may not require these, but it is becoming more common for them to request them.

8.  Signed Change Order Forms

These are forms that your real estate agent will use to reduce the price of your home throughout the short sale process until an offer is received.

Your lender may have additional forms required, or your real estate agent may require additional items from you.   The quicker you can get all of the required documentation together for your agent, the quicker your agent can work to get short sale approval.

If you, or someone you know, are having difficulties making your mortgage payments, and you would would like to have more information about the short sale process, please call me direct at 503-931-1846.