There must be alot of misinformation floating around about what happens in a Short Sale. The general public has heard of them-- and like the perfect golf swing, they think they know a little bit about them. For the most part, I have found that a large percentage of people...accountants, lawyers, bankers, Realtors, included... have many different ideas about what happens in a short sale and when it is a viable option. Most people don't know how to grip the club. Much less, hit the ball.
I have a client who came to me and said he needed to short sale his home. I asked for the pertinent information to send to the bank... and he said "HARDSHIP ?? What's that?? My income was over a $1Million dollars in the last 3 years, and I'm getting divorced, and my house is'nt worth what I have in it. Help me. Oh, and I can't give you a financial statement."
What we have here, is a failure to understand who Short Sales were created for. People who have lost jobs, spouses... people who are so far behind, that there is no other option. The public needs to be educated about Short Sales and given factual information. What do you do when you want to learn the swing.... you go to a pro. When you have Real Estate questions-- don't rely on what your neighbor told you-- go to a pro!