Short Sales

**Is a short sale appropriate for you?

 The first question most people have is whether or not they should even consider short selling their property. The answer is that it depends on your specific situation. Generally, if you owe more than 125% of your property's current value and if your monthly mortgage payment, property taxes & insurance (PITI) add up to more than 125% of whatever the market value rent would be, you should seriously consider short selling. The reasoning here is that you most likely will not start building any equity again in the foreseeable future and the excessive cash outlay each month negates any possible tax advantages. Another point to consider is that, if you do short sell and start rebuilding your finances and your credit, you can qualify to purchase another home in 2-5 years. The net result is that you could actually set yourself up to be in a much better position financially in five years by short selling now.

**What about a loan modification?

 If you are able to get a PERMANENT FIXED RATE LOAN MODIFICATION that reduces your principle to less than 125% of the current value and reduces your payments to less than 125% of the market value rent, then it may be worth holding on to, depending on what your needs and future plans are. My experience is that such loan modifications are extremely rare. Most fall short on all counts, or are not fixed for the life of the loan. Many are only fixed for 3 or 5 years, which would put you in the same position again at the end of the fixed term.

**Can the bank pursue a deficiency after a short sale?

 With the current anti-deficiency laws regarding short sales in California, you may also be able to eliminate the possibility of any lienholder pursuing a deficiency judgement against you by short selling.

**How do I work?

 I have listed and sold well over 100 short sales in the last 3 years. My approach is to always put my client, the seller, first. I don't work for the bank or for anybody else, only for the seller. I charge no upfront fees and there are no out of pocket costs for my services. I am paid strictly on commission, which comes out of the proceeds of the sale.

**How do we get started? (also for any other questions you may have)

 Give me a call at 925-323-5051 or send an email to
joereichert12@yahoo.com

**Other areas & languages

 I have agents in many areas that I can co-list with if you are outside of my immediate area, or if you prefer an agent that speaks a foreign language. I would still handle the short sale aspect of the transaction.

**Some very helpful links (to come)