How to Do a Short Sale

Video Transcript

"Doing a short sale can be a difficult thing if you don't understand what it is the banks are looking for. I'm Richard Blake, and I'm here to explain a little further to you what a short sale is. Short sale is something that can help you avoid the process of foreclosure. What it is, is when the bank is holding a mortgage and the current owner has a mortgage on the property, say of five hundred thousand dollars and they, are delinquent in their payments four or five months and can no longer afford the home, rather than going into foreclosure the bank would like to see them put the home on the market and see what they can get, for the sale of the property. And, with the Real Estate market, with the changing market right now, the prices are quite often lower, the current market values are quite often lower than what the loan amounts are, or what the person purchased the property for a year, or even two years ago. The bank will consider selling the property for lower amount that what the mortgage is, than what the mortgage that is owed is, simply because the cost for them to go through the foreclosure process is so expensive. There's a lot of good websites out there. My website is richardblakehomes.com, theres a lot of good information on there. Contact your local Rest Estate Agent, ask them to explain how to go through the short sale process and they can help you further, o.k. I'm Richard Blake, I hope that helps you a little bit on the short sale and you have a good evening."