Foreclosures and short sales are happening all over, not just in the greater New Milford, CT area. People are unable to pay their mortgages, homes have lost a significant amount of value in the area, owners are frozen, unable to decide what to do. Notices are piling up from lenders, your phones are ringing with demands for payments, life is getting harder to deal with. Then the dreaded thing happens, a notice from the courts that foreclosure action has been filed.
If you get one of those dreaded notices the lender intends to foreclose, don't stick your head in the sand. You still have time! Time to try and sell your house in a short sale. I suggest you contact a real estate attorney immediately who is familiar with short sales and foreclosures. If that is not something you can do for whatever reason, there are people in the courthouse who can actually help you fill out the paperwork.
RESPOND! Respond by the date requested. You can be assigned a mediator by the court who will assist you with the mediation process. During this period you will have to appear in front of the judge with your mediator, the purpose to determine if there is any chance you can keep the home with your current financial conditions. Then, call a real estate agent who is experienced with short sales. Don't wait for the courts to tell you that you can't afford the house, do this right away! (They will probably even ask you if you have tried to sell your home, or are in the process of trying.) Because this mediation process will extend the time it will take the lender to foreclose, it may just give you the time needed to sell your house short.
What exactly is a short sale? It is where you are attempting to sell your home for less than what you owe. I can tell you that it is not always an easy process. Some lenders are better than others. Some homes are more "saleable" than others. The goal of a short sale is to get your house sold and, we hope, get the lender to forgive the difference between what the house sells for and what you owe. You may end up having to negotiate for the difference between the two, you may end up having to sign a promissory note to pay, you might even end up with a 1099 from the lender for the difference. There is not one set scenario, not one set of rules. But it is possible to get the lenders to agree to the short sale and negotiate a positive outcome for you.
Foreclosures and short sales are not specific to any demographic, to any area. More and more home owners in this area are finding themselves unable to pay their mortgage for whatever reason, from the smallest homes to the largest estates. Each of these home owners has a right to try and sell their homes "short", for help through the foreclosure and or short sale process. The process is not specific to any one type of home, and group of people, it is non discriminatory and it can be devastating to all concerned.
Please, don't stick your head in the sand if you are unable to pay your mortgage any longer. If you live in the greater New Milford CT area and are experiencing difficulty paying your mortgage, give me a call. Or call an experienced real estate attorney who knows about both foreclosures and short sales.
Want to read more about short sales? Check out my interview with short sale guru Bill Gassett, Realtor. Short Sales, New Milford, CT Real Estate Talk.
Andrea Swiedler, Realtor, Southern Litchfield County Real Estate
2017 President, Greater New Milford Board of Realtors
2017 Connecticut Magazine 5 Star Realtor
Coldwell Banker Residential Brokerage
Litchfield County Regional Office,375 Danbury Rd, New Milford, CT 06776
© Andrea Swiedler 2009 - 2017
Always do right. This will gratify some people and astonish the rest. - Mark Twain