In continuing our Minnesota Short Sale Series for Sellers, this week we are going to show you how the listing process works when selling your home on a short sale. Really, it isn’t too different than a traditional sale but there are some quirks to it.
1. Talk to Your Realtor
Before you decide to sell your Minnesota home on a short sale the first thing you should do is talk to a qualified and experienced Minnesota short sale Realtor. Not every Realtor out there knows the nuances and complications that come with doing a short sale and it is different than a traditional sale, so experience counts! We have personally closed over 150+ short sale transactions and have relationships with all the major banks and mortgage companies which can help during the negotiation process. Once you are ready to talk to us, we can help you determine the best course of action for your home and help you figure out if a short sale will work for you.
2. Prepare Your Hardship Letter
Once we have determined that you can sell your home on a short sale, you will have to prepare your hardship letter. In last week’s post we examined all the potential hardships that banks and mortgage companies will consider. You will need to prepare a letter detailing your hardship and why you can no longer afford to keep your home or make your mortgage payment. We have examples of hardship letters and can help you understand how to prepare your letter.
3. Fill Out Paperwork
Like any Minnesota real estate transaction there is a lot of paperwork that needs to be filled out. You will fill out traditional Minnesota real estate paperwork and also any forms that are required by the bank or mortgage company. This typically includes information on your monthly expenses and income. You will also have to provide the bank with your tax returns, bank statements and W-2’s. They will want to see proof that you cannot afford to keep your home or pay the mortgage.
4. Showings & A Purchase Contract
At this point your home is ready to be listed on the Minnesota MLS and ready to be shown to potential buyers. In this regard, it is very much like a traditional sale and we wait for a potential offer to come in.
Next week we will discuss what happens when an offer comes in on your Minnesota short sale. This process is very different than a traditional sale and this is where experience truly matters. If you are concerned that you can’t afford your home and want to consider selling your Woodbury, Cottage Grove, Stillwater, Lake Elmo, Washington County or Dakota County home on a Minnesota short sale, please contact us today to learn more.
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