Short Sale Hardship Letter – Real Estate Short Sales

No down payment program availible on first come, first served How to Write a Hardship Letter The hardship letter sets the tone for the rest of the short sale process. The hardship letter should be written in a clear, concise and convincing way. While it should, to some degree, provide the human side of the story, it should frame the personal circumstances with cold, hard facts about the borrower’s financial situation. The ultimate goal of a hardship letter is to show the bank or lender why a foreclosure could be imminent, and to demonstrate a borrower’s willingness to seek out other options that are more appealing to all involved parties. When a lender finishes reading a hardship letter, he should be convinced that the borrower has no other resources available to him.
Right off the bat, the hardship letter should make it clear that a borrower is suffering from some kind of hardship. I don’t know about you, but because of the costs of gas has increased up to 100%.  Has the cost of gas increased monthly expenses every month? The letter should put that assertion out there immediately. Soon after that point is made, the borrower should explain the changes in their life that have wrought the current crisis. For instance, perhaps the borrower has lost his job; maybe the borrower’s spouse has passed away or been laid off from work. Reduced hours and pay cuts should also be mentioned at this point. In other words, the borrower should show that they are financially unable to fulfill the terms of the mortgage loan.
After explaining why he or she may be unable to make his monthly mortgage payments now or in the near future.  The borrower should outline the results of his property/loan evaluation. In plain terms, he should explain what the current value of his house is. At the same time, he should emphasize how much is currently owed on the mortgage loan. The contrast between the value of the house and the amount that is owed should clearly show the underwater, or upside-down, nature of the situation.
Finally, the borrower might want to include other alternatives that he has considered. By doing so, he will show the lender that he has earnestly been looking for other ways to handle his financial responsibility, such as refinancing, getting personal loans or attempting to sell the home. Ultimately, however, he should show that he has two options left: a foreclosure or a short sale. As the letter wraps up, the reader should be left with a clear understanding about why the borrower needs to pursue a short sale. While writing the hardship letter, the borrower needs to remember that all of his points must be backed up by proper documentation; everything will be sent to the lender as a part of the short sale package.

Guide For Apartment Renters

There is a common phrase “renting is throwing away money” that is often tossed around when renting versus buying is brought up.  When deciding to buy in the real estate market as a whole, no matter what the size of your home may be it’s a huge commitment that you’re going to embark on.  Condominiums and homes  are selling like crazy right now, so why do people still rent?  There are many reasons and this guide is intended to provide you with those reasons.  The benefits that come with renting an apartment versus buying a condominium or home can be found in detail here.

 

First,

when you rent you can pick up and move almost anywhere you wish to with usually very little penalties.  If you own a home you’ll have the responsibility of selling your home before you can leave, which is a process that can take a very long time.  So if you’re given a great opportunity for a new job in a new area and you’re a renter, there are always ways to get out of your rental agreement with some fees.  However if you own you just might miss that opportunity until your home sells or be forced to pay two mortgages at a time.

 

Second,

renting comes with a person to cater to all your maintenance problems.  When the sink is clogged or the power isn’t working, you won’t have to take care of the headache of being on hold on the phone with your local plumber or electrician.  Appliances as a whole are a huge expense to any home.  The average cost of a refrigerator will cost you thousands and a new washer and dryer are well above that.  So if you own be expected to take care of those fees, as for renters appliances are usually replaced or fixed by your landlord.

 

The third.

Thing we will discuss is that common phrase mentioned earlier “renting is throwing away money”.  People often make this statement due to the fact that renters never gain ownership of the place they’re renting.  However this can be turned around that when you own a home, you will also be throwing away your money as well.  That right!  All of those property , condominium fees, and homeowner association fees and so on in your area will add up to just as much if not more in the long run.