Chicago IL – The Stop Foreclosure Institute received a few responses from yesterday’s blog post. Most of the questions went something like this.
“I think a lender would be stupid to approve an investment property short sale for a wealthy person. If I was the lender I would sue them for the loss. Jan.”
The bottom line is that people didn’t think a lender would allow a wealthy person to walk away from the debt on an investment property.
Here are a few reasons that a lenders will allow a wealthy investor to walk away from an upside down investment property.
Lenders know that if they can give a customer what they want, then it will help them. If they don’t give a customer what they want, then everything turns into a fight.
Some homeowners will hire a lawyer to review every clause in the mortgage. They will check to make sure that each clause of the mortgage meets every single conceivable state and federal law.
Other people will declare bankruptcy to avoid paying the debt. This is the biggest impediment keeping lenders from collecting on a debt.
Debt is very hard to collect even in court. In fact, only around 8-10% of all judgments are ever collected. That means a lot of people and lenders spend thousands of dollars in court getting a judgment, only to never collect the money.
This is one of the reasons that a debt collection company recently bought $20 Million Dollars worth of Deficiency Judgments for $150,000. I don’t know which lender sold them, but apparently that is all they thought they were worth.
I hope this helps you see why a lender would find it simpler to approve a short sale rather than pursuing a debtor in the hopes of collecting on the deficiency. If you are thinking of short selling please visit Chicago Short Sale Super Man at www.ShortSaleSuperMan.com
Thinking about a short sale? I can help you short sale your property so you can move on with your life. Send me an e-mail at firstname.lastname@example.org. I will contact you for a free consultation.
When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at (312) 953-6725
Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.
Thanks for reading this, Phil Buoscio.
Phil is a Real Estate Agent at Better Living Realty – Buoscio Brokerage, Inc.. Chicago Short Sales Realtor:
Phone: (312) 953-6725. email@example.com.
View My homes for sale at www.BetterLivingRealty.com.
Phil Buoscio specializes in loan modifications and short sales in Chicago Illinois. Chicago Loan Modification Help. Chicago Short Sales. Chicago Short Sale Realtor. Chicago IL Short Sales. Chicago Realtor.
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Phil Buoscio, Better Living Realty – Buoscio Brokerage, Inc., and the Stop Foreclosure Institute are not associated or affiliated in any way, shape, or form with the government. Our services have not been reviewed, endorsed, or approved by the government or your lender. Most lenders willingly work with agents on short sales. Why?
Because most short sales are beneficial to a lender. If you accept our offer to help you on a short sale, your lender may not agree to a short sale or to modify your loan. We do offer a loan modification kit.
However, the likelihood of negotiating a modification is like everything else in life. It takes work and persistence to convince your lender to modify your loan. No matter what you or we do, your lender may not approve a loan modification.
If you stop paying your mortgage, then you could lose your home and damage your credit. Because we know avoiding foreclosure is so important to any homeowner, we recommend that you speak with the appropriate legal or tax advisor before making any decision.
This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing.
You have the option to reject a short sale or loan modification from your lender if it does not meet your approval. If you decide not to go thru with the short sale, then you do not have to pay us our fee. We normally make a real estate sales commission for helping you on a short sale.
The views expressed here are Buoscio’s personal views and do not reflect the views of Better Living Realty – Buoscio Brokerage, Inc..
This information on Chicago Short Sales: How To Look At A Short Sale From The Lender’s Perspective is provided as a courtesy to our viewers to help them make informed decisions.