Most people think that the hardest park of being a Northern Virginia Short Sale seller is getting the bank to approve a contract. While getting short sale approval can be lengthy and seem to test even the patience of a saint, for many, that is not the largest hurdle to jump. There are many home owners facing short sale that major hurdle to get beyond:
I can not tell you how many times I have sat across from a potential short sale seller and been through my listing presentation to find this mental roadblock. Maybe there has been a job loss. A devastating illness. Perhaps it's a death in the family. No matter what the scenario, the shame of not being able to pay off a mortgage is a great embarassment to many short sale sellers.
It doesn't help for that short sale seller to know that their particular situation is one of many playing out in a severely declined real estate market. There is a guilt that the selle can not hide from. They feel they need to do the best they can for their bank to recoup the loss. This may force short sale sellers to overprice their property to lessen the loss to the bank.
As a Northern Virginia short sale listing agent, I can tell you that overpricing a short sale listing is not going to do anything to help anyone, lest of all the bank holding your mortgage. Pricing the property to current market value, or within 10% of market value, is the best course of action. You see, it is estimated that the cost of foreclosure, which many short sale sellers may ultimately face, costs the bank $40,000-$50,000 in the Commonwealth of Virginia. Pricing the property right, and getting a serious buyer quickly can eliminate many of the pitfalls of a short sale, which can also eliminate the chance of your home going to foreclosure. Those pitfalls include appraisal issues, buyers not waiting for approval, or pricing yourself out of the market.
You may never have thought that you would find yourself upside down in your mortgage and unable to afford your home. I can assure you, you are not alone. Do not dwell on those feelings of guilt. Hire a Realtor® to you help you navigate your short sale to a successful conclusion and know that you are doing the best thing for the bank that holds your mortgage.