Category Archives: SHORT-SALE

Short Sales with Bank of America are improving

Bank of America is leading in helping home owners who are facing selling their home to save their credit as much as possible, called Short-Sells or Short Pay. The link below offers the still complicated but easy access to on-line help. There are links for real estate professionals so waiting for phone help has become unnecessary.


BudgetEscrow (please put my name in as referral). link for a low escrow cost link:

If you need any additional information please email or call me.

Renee Baccaro Realtor

Villa Group Real Estate and Mortgage

(562) 972-9886


Short Sales – Work with a strong team.

Seller’s Q&A


Engage The REMERGE Short Sale TEAM
to Manage Your Short Sale

Feel the optimism of moving on to a brighter future!

Managing a short sale is a full time, complex job. It requires qualifying and preparing
the Seller’s short sale documents prior to the sale, properly marketing the property for a multiple offers, negotiating and qualifying the Buyer, preparing the offer properly for Bank approval and closeability as well as relentlessly following up with the Bank for a response.

Few real estate agents have the experience or the desire to learn or the patience
to do short sales because of the time and effort involved in the protocol. 
Inexperienced agents sometimes take on short sales as a “favor” to their clients.
Its no favor to anyone.
After months of frustration to all parties, these short sales do not close. Everybody loses.

Success in short sales is not luck!
Who you select to manage your short sale matters.
Select the best!

provides full service Short Sale and Real Estate Transaction Coordination 
100% FREE
to Sellers.

All members of The REMERGE Short Sale TEAM are independent
real estate brokers
 and vendors who specialize in short sales and negotiation
and close the file in compliance with the Department of Real Estate.
You will never be asked to pay a fee.  
Why wouldn’t you engage the most qualified and successful short sale team
to manage the short sale of your property and lead you to a brighter future? 
After all, the price is right! 

What is a Short Sale?
When the sale of property results in less money than the total pay off for all loans, liens and other costs associated with the sale,  the sale is “short”.  Short to whom?  Short to the Bank(s) and any lienholders who have a monetary claim against the property.  

Why should I do a Short Sale?
If you are unable to pay your mortgage now or foresee that you will be unable to pay the mortgage in the near future or you no longer want to keep mortgage heavy property, a short sale is a pro-active option you can take to avoid foreclosure. Doing nothing assures foreclosure which is the worst possible option. Short Sale enables you to:

* Avoid Foreclosure and its long lasting effect on your credit report.
* Avoid Bankruptcy
* Eliminate the burden and stress of related to your mortgage delinquencies.
* Minimize financial liability, if any, because your house will sell at a higher price in short sale than it will in foreclosure.

Why does the Bank accept a Short Sale?
Time is Money. Foreclosure action is expensive and lengthy. During the 12 months or longer foreclosure process, the property is a negative possession that is declining in value every day. If the property becomes vacant and/or vandalized, it will cost the Bank even more in repairs, maintainence and security. When foreclosure is complete, the Bank must still hire an asset management company who in turn must hire a local Broker to list and sell the property. The Bank will compare the cost of the Foreclosure vs the cost of Short Sale. If there is little or no equity in the property, the Bank will have to conclude that it  is better off accepting a short and immediate sale.

Why does a Bank deny a Short Sale?
The documentation of the short sales package justifies the Bank’s action to accept a short sale. If a short sale package is incomplete, it will not be reviewed. If the short sale offer is inadequate, it will be denied. The REMERGE Short Sale TEAM short sale packages are always complete. We shape all offers to get the highest probability of acceptance. 

Generally, the 1st TD holder accepts an offer  within 10% of the current market value. An inadequate offer will be denied by the 1st TD holder. An inaquate pay-off will be denied by the 2nd TD holder.  Approvals from the both 1st and 2nd TD holders are required for a successful end.

Banks recognize The REMERGE Short Sale TEAM transaction packaging and already expect that it is complete and ready for approval. This “halo effect” gives our files the edge for quick approval once it is in bank review.

Can The REMERGE Short Sale TEAMguarantee a short sale?
No one can guarantee a successful short sale. Many factors beyond our control are in play. The property may not sell prior to foreclosure. The Buyer may become impatient and withdraw the offer prior to approval. The Bank may deny even a good offer for no apparent reason. The 2nd Trust Deed Holder may make unreasonable demands. Constantly changing criteria occuring at the short sale lender  level are not conveyed to the public.

However, The REMERGE Short Sale TEAM does guarantee that we will see your short sale to the bitter end and deliver an complete bank response. Given a well structured short sale package, a fortified offer and enough time to go through the Bank review process, we maximize your success.  The REMERGE Short Sale TEAM has a very high track record of success. See our page Homes in Short Sale. We are willing to put in the time and effort on your behalf, at no cost to you. Give yourself the chance for a fresh start.

How long does a short sale process?
The Bank’s short sale process is by no means short.  Generally, it takes 3-9 months to close a transaction once an offer and short sale package is submitted to the bank. Timing depends on how far in default your mortgage account is. The longer you are in the foreclosure process, the shorter the time will be. The REMERGE Short Sale TEAM Coordinators follow the short sale transaction through the Bank maze.

How do I know if I qualify for a Short Sale?
If you are financially unable to make mortgage payments, for any reason, you are qualified.  Although you may be qualfied for a short sale, an inadequate short sale transaction package will not get processed for Bank approval. 
What does a short sale application require?  
1.  Listing Agreement: by The REMERGE Short Sale TEAM  Local Agent 
2.  Short Sale Forms: by The REMERGE Short Sale TEAM  Local Agent 
3.  Mortgage Coupon for each Bank 
4.  HOA Coupon for each HOA (if any) 
5.  Copy of last 2 months Pay Stubs or Profit anf Loss Statement, if you are 
 self-employed or evidence  of unemployment or other sources of income  
6.   Copy of last 2 months Bank Account Statements (checking and savings)
 7.  Copy of  the last 2 years Tax Returns

If you do not provide all the documents above, for any reason, your short sale application will be denied. If you want to discuss your situation by phone, feel free to call Shelly Gorenstein Toll Free: 877-473-6374.

When is the best time to start a Short Sale?
Any time after a 30 day late period, you will receive a Notice of Default (NOD) inthe mail. Some homeowners do not receive this notice for 6- 12 months!  The day that you receive the NOD is the day you should contact Shelly Gorenstein, or another agent of The REMERGE Short Sale TEAM.

What are the benefits of doing a Short Sale?
 1. You get immediate debt relief without adding any cash to the transaction.  
All costs of the sale will be paid by the Bank and the Buyer.    
2. You avoid public notification of your debt, default and loss of property. 
3. Your mortgage debt(s) are not marked as “Foreclosure” on your credit report. You will retain your ability to maintain credit. “Foreclosure” on your credit report will severely damage your credit
rating for 7 years.
4. You will be able to re-enter the real estate market again, 36 months after the
 the close of your short sale (vs 48 months after a foreclosure).
5. You will be in position to negotiate with banks to reconcile your defaulted loans.

6. During these trying times, you have the help and support of
The REMERGE Short Sale TEAM, an ensemble of professionals to whom you can pass the stress and anguish of dealing and negotiating with the Bank and its debt collectors.

What are the consequences of doing a Short Sale for primary residence?
Reconciliation of the debt with both the 1st and 2nd TD holders are explicit in their written terms of approval. Generally, the debt is cleared by the 1st TD holder when it accepts an offer. The 2nd TD holder may accept the pay-off from the offer as payment in full and/or may offer the home owner a promissorry note for a portion of the outstanding loan for payment in full and/or still pursue the homeowner for the remainder. We are in the position to negotiate all possibilities to reconcile your mortgage loans.

The Bank(s) is obligated to report its debt relief loss to the IRS and issue you a 1099 ie income to you.   Debt relief is considered “other income”. The recently passed  Debt Relief Bill will not cause taxation on residences  that received mortgage debt relief from January 1, 2007 through December 31, 2012. File Form 892 along with the 1099. 
You are advised to consult a tax professional to understand how the 1099  for primary residence  affects the tax return for the year of the sale.

What are the consequences of doing a Short Sale for investment property?
Investment properties in short sale do not qualify for the debt relief income tax waiver. The Bank(s) is obligated to report its debt relief loss to the IRS and issue you a 1099, ie income to you.   Debt relief is considered “other income”. You will have to reconcile your debt relief in your income tax for the year of the sale. In doing a short sale, your debt relief will be minimized because the property will probably sell at a higher price that it will in foreclosure.
You are advised to consult a tax professional to understand how the 1099  for investment residence  affects the tax return for the year of the sale.

Do I have to stop paying my mortgage to qualify for a Short Sale?
We cannot advise you to continue or terminate your obligation to the Bank. However, banks do not consider you in financial distress when you continue to make payments.

Do I have to have a Notice of Default to qualify for a Short Sale?
NO! A Notice of Default (NOD) is the first step in the foreclosure process that starts 90 days after your first missed payment and follows a very strict time line of legal action. The backlog of delinquent properties queued for processing at the banks is such that we may sell and close your property before or close after the NOD is issued.

What if I already have a Notice of Sale?
The REMERGE Short Sale TEAM  may be able postpone the Trustee Sale Date and complete a successful short sale if there if there is an offer on the property. However, if the Trusteee Sale date is 14 days or less and there is no offer on the property, it is unlikely that anyone can help you. So, you must contact us IMMEDIATELY because time is very short and there is much work to do.

Where do I go after the Short Sale is complete?
The REMERGE Short Sale TEAM  , at your request, will continue to be at your service until you are comfortably resettled in another home. There are many rentals available that cost far less than the mortgage you are used to paying. We will help you move on to a brighter future.

When should I contact The REMERGE Short Sale TEAM Agent?
If your mortgage is already overwhelming you or you are expecting it to re-set soon at a higher % rate than you can afford or you have received an NOD, contact us NOW!!  Act fast! A successful short sale depends on you giving us the time needed to complete each of the many steps of the short sale process.

If its closeable, The REMERGE Short Sale TEAM  will close it!

Got Questions? Need Help?
Shelly Gorenstein

for a Confidential Consultation

Renee Baccaro works with Shelly Gorenstein on listing that are short sales and from the above letter you can see why.

Renee Baccaro Realtor license 01817366

(562.972.9886  call me for an interview.