Bloomfield Financial Services, Inc.

A short sale is when the mortgage company agrees to accept less than the total amount you owe in order to allow you to sell your property without taking a loss. In most cases, you must already have a potential buyer and include them in the Purchase Agreement that is presented with the Short Sale proposal.

A short sale will allow you to sell your property, satisfy your loan for less than you owe, and walk away without taking a loss or paying a balance out-of-pocket.

It may be best to sell a property to avoid foreclosure; however, in the current market, property values have plummeted. If a mortgage loan was issued at 90-100 percent of the previous market-value, it's likely that the mortgage is now upside down—meaning the borrower owes more than the property is worth. Being so, it's nearly impossible to sell the property unless the borrower has cash to pay the difference out-of-pocket. The remedy is a Short Sale.

A Short Sale, in some urban markets, gives a 95% reduction of the mortgage balance. For example, in Detroit, MI, a balance in excess of $100,000 may short-sale for $5,000. In Suburban markets the average difference is 25-50 percent. Chat with a foreclosure advisor or request a free consultation to find out if a Short Sale is the solution for you.

Case Study

Problem
A married couple purchased a home for $425K. They were employed by the same auto manufacturer and when the company downsized, the couple's combined earnings reduced from $145K to $85K per year; the couple could no longer afford the mortgage.

Solution
The couple decided to move into a more affordable home and sell the current property; they listed the property for $190K and hired Bloomfield Financial to negotiate a Short Sale with the mortgage company.

Results
The mortgage company accepted $190K as full payment to settle the debt. The married couple sold the property to a new buyer and rented a home, for $1200 per month, in the same neighborhood!