Selling Via Short Sale? DON'T Stop Paying Your Mortgage!

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Real Estate Agent with Kathleen Cooper, Best Option-EXIT Realty Partners, REALTOR® 9084437/Brokers

Selling Via Short Sale? DON'T Stop Paying Your Mortgage! 

To pay or not to pay, that is the question!  If you are looking to sell your home using the short sale process, DO NOT stop paying your mortgage.  I've heard mixed answers to this question from all kinds of real estate professionals, but the highly professional Attorney Scott Wrenn advised us in a seminar this week to encourage our clients to keep paying for as long as financially possible.  

It is common sense - if you stop paying your mortgage and fall into default, your lender is going to start the foreclosure proceedings.  If this becomes the case and you do not find a buyer for your short sale soon enough, you are going to lose your house out from under you.  Continuing to pay the mortgage and maintain the upkeep in the property will ensure a much more successful attempt at selling your home via short sale and saving some of your credit for the future.  

If you or someone you know is looking to avoid foreclosure we can help!  The JCKC Team partnered up with Attorney Scott Wrenn can guide you through the short sale process at ease.  It's not always a short process, but you can rest easily that it will be a comfortable process with us by your side.  Call me at 508-523-8632 for more information.  Every meeting is confidential and we can just discuss your options.  

Looking forward to hearing from you! 

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Re-Blogged 1 time:

Re-Blogged By Re-Blogged At
  1. Keith Pentz 09/24/2010 10:50 PM
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Tags:
short sales
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keep paying your mortgage on a short sale

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Rainer
85,235
Nona Swann
Swann & Associates Real Estate - Indialantic, FL
Serving the needs of the Sellers in Brevard County

Hi Kathleen,

You are so right. I am always amazed when I call on an expired short sale and they tell me their previous Realtor® told them to stop paying the payments. It scares me. The liability the agent takes on for ruining the clients credit! SCAREY.

 

Sep 23, 2010 09:24 PM #1
Rainmaker
364,708
Kathleen Cooper
Kathleen Cooper, Best Option-EXIT Realty Partners, REALTOR® - Worcester, MA
EXIT Realty Partners - Broker, REALTOR®

You're right on Nona!  That is the worst advice we can give a client and it can come back to bite us in lawsuits later if we do that!  We're here to protect them and look out for their best interests and if they can pay the mortgage for a short period of time, they will have much better luck selling it.  

Sep 23, 2010 09:31 PM #2
Rainmaker
168,567
Larry Bergstrom
Crescent Realty, Inc. Spanaway, WA. - Spanaway, WA
CNE, CRS, GRI

Kathleen, you're right. However what I've heard in the biz is that a lender won't consider you for a short sale unless you become delinquent on your payments.

What's that all about?

Sep 23, 2010 09:31 PM #3
Rainmaker
364,708
Kathleen Cooper
Kathleen Cooper, Best Option-EXIT Realty Partners, REALTOR® - Worcester, MA
EXIT Realty Partners - Broker, REALTOR®

Hi Larry, 

I've heard that rumor as well, but I'm going to leave at being called just that.  From my experience with selling short sales, my clients have kept paying their mortgages and have been able to get approvals that lead to the sale.  If a lender tells them to stop paying to be considered, then we can do that from there, but better safe than sorry. 

Sep 23, 2010 09:47 PM #4
Rainer
52,684
Keith Pentz
RE/MAX ADVANTAGE 1 - Shrewsbury, MA
Keith Pentz

Great post Kathleen!  Cutting down on the "just made it" transactions would be huge in the industry!  Nothing more stressful than trying to cram in a 20 day closing on a property that is going to foreclose if we don't get it done...If Attorney Scott Wrenn said it then that's the way it is!

Sep 23, 2010 10:30 PM #5
Rainmaker
364,708
Kathleen Cooper
Kathleen Cooper, Best Option-EXIT Realty Partners, REALTOR® - Worcester, MA
EXIT Realty Partners - Broker, REALTOR®

Thanks Keith! Scott's the man!  =)

Sep 23, 2010 10:41 PM #6
Rainmaker
1,867,693
Lou Ludwig
Ludwig & Associates - Boca Raton, FL
CRB, CRS, CIPS, GRI, SRES, TRC, e-PRO

Kathleen

Outstanding post I feel the seller should continue to make the mortgage payments.

Good luck and success.

Lou Ludwig

Sep 23, 2010 11:02 PM #7
Rainer
239,935
Michele Miller ~ REALTOR®, LMC, HSE, CHS
Keller Williams Greater Worcester - Worcester, MA
"Your Full Service Professionals"

Kathleen,

That was a great class! Lots of great information for sure.

Definitely will use Scott in the future.

 

Sep 24, 2010 04:19 AM #8
Anonymous
Helpcom

Great Advice, you should keep paying your mortgage unless you are planning not to stay there long.  Has anyone heard of a mortgage relief program called: Equity Triad?

Sep 24, 2010 11:50 AM #10
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Rainmaker
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Kathleen Cooper

EXIT Realty Partners - Broker, REALTOR®
What's My Home Worth?
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