If you’re doing short sales, you’ll quickly realize that your clients will need to have a legitimate hardship for a lender to approve the short sale. Examples of legitimate hardship: loss of income, medical issues, death, divorce, etc. These are long-term situations that cannot be remedied.
Examples of things that are NOT considered a hardship: two bathrooms instead of three, “I’d really like to move,” I saw on TV that I can walk away from my house with no repercussions, I made a bad decision and spent all my savings on a vacation , etc. (Yes, these are real “hardships” I have encountered)
What we’re seeing in our market right now are two types of sellers:
1. Those who have a legitimate hardship OR were put into a mortgage through fraudulent or deceptive practices. This is the group that deserves our attention and needs our help.
2. Those who made poor financial decisions and are trying to beat the system by walking away from their obligations because of the current economic chaos. This group does not deserve our attention.
The lenders and the government are sympathetic to group number one. Group two? Not so much.
For a free copy of a hardship letter that works like a charm, email info@johnnysanfrancisco.com.
