What is a short sale?
What exactly is a short sale? Want to Buy a Home? Search All Homes Want to Sell a Home? Get a Home Value Report This is a very common question in the Real Estate business and it has a very simple answer. A short sale is when you have to sell your home for less than you actually owe. Furthermore, contrary to what the name implies, a short sale has nothing to do with the length of time of the sale. In fact, a short sale transaction can take up to a few months from start to finish. I’ve actually seen short sales that took 12 and 18 months to finalize! The average time for a short sale in our current market, is around three to six months. So how does a short sale work? Well, let’s say that you’ve owned your home for a period of time and it’s currently worth $300,000 while you still owe $400,000 on the mortgage. Next, let’s pretend that you’ve come into some sort of hardship and you need to sell...