There are several reasons that a person may want to sell a house in a hurry. A borrower may have fallen upon hard financial times, or a person renting the property may simply not have paid the rent, causing the owner to default. In some cases, a mortgage may also simply exceed the value of a home.
If you want to avoid foreclosure or get rid of a house that is costing you too much money, you may want to consider doing a quick sale on the property. Before your home is actually foreclosed upon, there will be a pre-foreclosure period. It is the period of time after the initial default on the mortgage and the foreclosure on a home. When a home is in a defaulted mortgage’s pre-foreclosure period, the owner can do a “quick sale.”
A quick sale, also known as a short sale, takes place when a home is sold for its current market value. This amount of money is often less than the mortgage. When this happens, the seller will be “short” on the money that they owe the bank; hence the term short sale.
Quick sales are a fast and easy way for a homeowner to avoid foreclosure. The owner will simply hire a realtor to list the home for market value.
The Benefits of a Quick Sale
It takes a lot of paperwork to foreclose on a home and most bankers consider it to be a time-consuming job. It is also very costly for a lender to do a foreclosure. The vast majority of banks have a backlog of properties on which to foreclose. There are some circumstances under which a lender may even offer you money to do a quick sale.
If you have lost your home, you are undoubtedly going to have to look for another one. When you do a quick sale, you will have money for a downpayment on a new place or for moving cost and the first month’s rent and deposit on a new home.
There are many people who make a living buying short sale homes. They can pay market value for the homes, fix them up and sell them for a higher price.
What are the standards for quick sales?
If a homeowner can demonstrate true hardship, the bank may agree not to attempt to collect the remainder of the money owed on the mortgage after a quick sale is complete. If the homeowner is unable to demonstrate hardship, they may have to pay the rest of the money that is owed before the sale is considered closed.
In the state of Florida, a lender must take a homeowner to court before foreclosing on their home. A lender has 5 years from the date of the default to go to court for foreclosure. If they are granted the right to foreclose, the owner should do a quick sale right away.
A short sale can take between a week and six months. The fastest way to sell your house is to hire a realtor who specializes in quick sales in Florida. They will be able to help you get the best price you can for your home.
When the housing market crashed in 2008, Florida was hit hard and many people lost their domiciles. The current situation caused by Coronavirus is likely to have an adverse effect on the housing market as well. A quick sale can help keep a bad situation from turning into a disaster.