This solution does not work for everyone though, because some folks are stuck in a situation where they absolutely have to sell their house. Your paperwork is submitted to the investor for a decision. That's a worst-case scenario because it impacts your credit rating more severely than anything else possibly can.Of course, the lender doesn't want to do that, but they also don't want to pay all the costs of foreclosing on a home, repairing any defects, placing it on the market, and getting the best price they can in what may be a market already overstressed with excess inventory.

That number will be in the documentation you receive about making your payment.Not always so don't get your hopes up.Your real estate agent still has to put the home on the market, find a buyer, and get a bona fide offer. This takes a while because there are several decision makers involved.Lenders absolutely hate to foreclose, so they may be willing to consider a short sale.A short sale is basically a "forgiveness of debt.</p>. That way they can justify making high LTV (loan-to-value) loans. Keep copies.Another option is something called a "short sale.

Most of the time, this isn't a problem because time is the solution.Your lender isn't usually your lender. Mortgage insurance covers lenders in the case of loan defaults.Problem solved.So what do you do?One option is to do nothing and not make your mortgage payment. Once that has been accomplished, you submit all contracts and paperwork to your lender for a decision.For a variety of reasons, it is possible that the total debt on your home may be more than what the home is worth. Use the phone and the mail.

Assuming you have mortgage insurance on the loan, they are another decision maker in the process.If the investor and the insurer both agree, your short sale is approved, and you can sell you home. Depending on how much you owe, just wait it out and the value of your home goes up.This can happen for many reasons, some good and some not so good: relocation, financial hardship, divorce, death, illness, or anything at all. They want to know that you really don't have the financial assets to repay the loan after you sell the home.The lender will ask you to submit a financial statement.

The check valve suppliers result is that you may have to move, but you can't sell your house and make enough on the sale to pay the closing costs. They just service the loan for your actual lender, called the investor.That's just the beginning, assuming they give a tentative agreement.A short sale involves a lot of paperwork, time and effort and it is best if you have a real estate agent or someone knowledgeable to help guide you through the process and give moral support.