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Short Sales and Foreclosure Resource Certification
Short Sales and Foreclosure Resource Certification
Learn more about NAR's latest certification program, core courses, free webinars, FAQs and brochures.
Short Sales Basics
8 Things to Know About Short Sales in Real Estate (Heritage Home Loans, Mar. 28, 2023)
Advantages for Sellers
- Avoiding Foreclosure: As mentioned earlier, a short sale can help sellers avoid the damaging consequences of foreclosure.
- Reduced Damage to Credit: Although a short sale still negatively impacts credit scores, it’s generally less severe than a foreclosure, allowing sellers to recover more quickly.
- Faster Resolution: A short sale can provide a faster resolution for sellers facing financial hardship, allowing them to move on and begin rebuilding their lives.
What is a Short Sale? (Bankrate, Mar. 27, 2023)
“A short sale is when a mortgage lender agrees to accept a mortgage payoff amount less than what is owed in order to facilitate a sale of the property by a financially distressed owner. The lender forgives the remaining balance of the loan.”
Buying a Short Sale Property FAQ (Freddie Mac)
“Homeowners pursue a short sale when they can no longer pay the mortgage, need to move from the property and want to avoid a foreclosure. With a short sale, the impact on the homeowner's credit record might not be as bad as a foreclosure in some circumstances.”
Short Sale Home
“The HomePath Short Sale Portal is a Fannie Mae resource for listing agents who are working with clients who are considering or pursuing a short sale on a property where Fannie Mae is the first lien holder.”
Working With Short Sales
What Is a Short Sale, and Should You Buy a Home Through One? (Credible, Feb. 13, 2023)
“For a prospective homebuyer, short sales can present an opportunity to buy a home for less than you’d pay in a traditional sale. You might also face less competition because buyers might be unwilling to risk the pitfalls of a short sale home.”
8 Helpful Tips for Buying a Short Sale Home (Angi, Feb. 23, 2022)
“Before making an offer, work with your agent to gather as much information as you can about the property. Compare the price to other listed and recently sold homes in the surrounding area, and determine exactly how much the seller owes the lender.”
How to Prepare for a Short Sale
“Contact your lender to see if it has programs to help you stay in your home. You may be able to refinance your loan at a lower interest rate, switch to a different payment plan to help you get caught up, or secure a temporary forbearance period.”
What is a Foreclosure Property? (The Balance, Jan. 13, 2023)
“Foreclosure is the process of a lender seizing and selling a property when the owner fails to make mortgage payments as agreed. The sale enables the lender to recover at least some of the mortgage balance that remains.”
What Are Your Legal Rights in a Foreclosure? (Investopedia, Dec. 21, 2021)
Depending on state law, you may be able to stop a foreclosure if you make a lump-sum payment to get up to date on your loan, including any fees and expenses. After that, you resume your regular payments.
What is a Foreclosure? How Does Foreclosure Work? (Bankrate, Aug. 10, 2022)
There are two main ways your home can be foreclosed on: A judicial foreclosure, meaning the lender needs to get a court order. A nonjudicial foreclosure, depending on the state where the property is located.
Working with Foreclosures
Avoid Foreclosure (USA.gov, Apr. 5, 2023)
If you know that you are going to have trouble paying your mortgage:
- Contact your lender immediately and let them know you are having financial difficulties. This allows your lender time to work with you to create a plan.
- Do not stop paying your bills.
- Do not wait until you cannot make payments before you act.
Can I Sell My Home if It Is in Foreclosure? Why Time Is of the Essence (HomeLight, Jan. 31, 2023)
The advantages to selling pre-foreclosure include:
- Time to have small repairs done, the home cleaned, and staged to get top dollar
- The ability to work with an agent and get top dollar
- Avoiding a foreclosure hitting your credit report and limiting your ability to buy again
- Move on your timeline, not a bank’s, depending on negotiations with the buyer
Buying a Foreclosed Home: Pros, Cons and a Step-By-Step Guide (Rocket Mortgage, Jan. 10, 2023)
“A qualified foreclosure agent can help you search for foreclosures, navigate your state’s REO buying process, negotiate your price, order an inspection and make an offer.”
Buying a Foreclosed Home: How a Foreclosure Sale Works (realtor.com®, May 19, 2022)
“Hire a professional to conduct a title search, says Ben Niernberg, executive vice president at Northbrook, IL–based Proper Title. This may allow you to avoid all kinds of nightmare scenarios—sometimes the bank will clear the liens, but it isn’t required to do so.”
eBooks & Other Resources
The following eBooks and digital audiobooks are available to NAR members:
All About Short Selling (eBook)
The All-New Real Estate Foreclosure, Short-Selling, Underwater, Property Auction, Positive Cash Flow Book (eBook)
Best New Short Sale Solutions, Top 10 Tips (eBook)
Bidding to Buy A Step-by-Step Guide to Investing in Real Estate Foreclosures (eBook)
Buying Real Estate Foreclosures (eBook)
Cashing in on Pre-foreclosures and Short Sales (eBook)
The Complete Guide to Preventing Foreclosure on Your Home (eBook)
Fire Sale How to Buy US Foreclosures (eBook)
How to Make Money on Foreclosures (eBook)
How to Use a Short Sale to Stop Home Foreclosure and Protect Your Finances (eBook)
Make Money in Short-Sale Foreclosures (eBook)
Stop Foreclosure Now (eBook)
Tips, Tricks, Foreclosures, and Flips of a Millionaire Real Estate Investor (eBook)
Books, Videos, Research Reports & More
As a member benefit, the following resources and more are available for loan through the NAR Library. Items will be mailed directly to you or made available for pickup at the REALTOR® Building in Chicago.
Short Sale Secrets Exposed: What the Banks Don't Want You to Know (Xlibris Corp., 2012) HG4521 .G93
Avoiding Foreclosure: The Field guide to Short Sales (Plano, TX: Realty Revolution, 2010) HG 4521 B73f
The REALTOR® and The Home Owner's Guide to Short Sales: Step by Step (CreateSpace, 2009) HG 4521 K27
The Art of the Short Sale (Minneapolis, MN: Mill City Press, 2008) HG 4521 C49
Foreclosure Investing for Dummies (Hoboken, NJ: Wiley, 2007) HG 4521 R54
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