A short sale is a sale of property in which the proceeds from the sale will fall short of the balance owed on the loan or loans secured by the property sold. In a short sale, the bank or mortgage lender agrees to discount a loan balance due to an economic or financial hardship on the part of the property owner in exchange for the sale of the property to a third party.
A short sale is typically executed to prevent a foreclosure. Banks and lenders are typically not interested in taking the property back through the foreclosure process. If they do foreclose, then they have it on their balance sheet as a liability and have to spend time and money to turn around and sell the property themselves. That is not their core business.
Lender negotiations are critical and require the expertise, experience and strong working relationships with mortgage companies and banks that are provided by short sale agents. Imperial has the expertise to assist with a short sale and has successfully negotiated these transactions for many years. You will definitely want an expert on your team to help you through this process.