Solving the Knoxville Foreclosure Crisis
One Homeowner at a Time

Rick Smenner

RE/MAX Preferred Properties
[email protected]

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Knoxville Short Sales – What’s In A Short Sale Approval Letter?

approvedKnoxville short sales take great deal of time and patience to complete. All the paper work, phone calls, and effort is put forth for one common goal: the short sale approval letter. So, what exactly is included in a Knoxville short sale approval letter? And, when it is received, what does it mean for you as the homeowner? The short sale approval letter spells out exactly what the lender requires from the seller in order for the short sale to be successfully completed. Generally, they lay out the following terms: an acceptable sales prices, the max commissions allowed, maximum closing costs, minimum proceeds to the seller (if any), and the close date (or when the sale must close by). In the case of some short sales, it will also include a release of future liabilities, that is that your lender is waving the right to pursue you for a deficiency judgement. If the release of liability is not address, then your lender could still potentially pursue you for what is owed. If your Knoxville short sale is approved, the letter will also potentially address how your loan will be reported to credit bureaus. It can also address if a 1099 will be issued for the sale, if the lender is able to sue the seller, or if the seller is able to sue the lender. Every lender is a little bit different in what they include in their short sale approval letter.  The general terms are the same. If you have any question about the terms of your short sale approval letter, be sure to consult with a lawyer, as they will be able to truly explain the terms and conditions. Do you know your alternatives to avoid foreclosure on your Knoxville home? My team and I specialize in helping homeowners avoid foreclosure. Give us a call today at 865-696-9002 to see what options you have to avoid foreclosure or send an email to [email protected]. Foreclosure isn’t your only option, my team has helped many homeowners avoid foreclosure on their Knoxville home.

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