Doing a short sale when seller is NOT behind on payments?

Has anyone done a short sale if the seller is not behind on payments yet?

The seller owes $370k and house is now worth about $340k. He’s not behind on payments yet, but will be in the future if he can’t sell his home. So if he makes a good attempt to sell his house for say $390k and gets no offers, would the bank be willing to do a short sale?

The bank is countrywide.


The banks typically would not entertain a short sale unless the homeowner is behind at least 30 days. I would explain this challenge to the homeowner, which most home owners don’t have any problem doing…missing 1 payment.

You might want to try to negotiate a much lower offer than what you suggest the home is “worth” now. I don’t see much spread there for a wholesale or even a buy and hold, as the value most likely will not change upward soon.

From what I’ve read on this site and others. Countrywide-forget it.herbster

Some of the advice on this board is great…some is terrible.

Bank of America now owns Countrywide…they just entered into an 8.7 billion dollar settlement for predatory lending.

If you have a loan that is above 38% of your income then they will modify your loan…thay are ACTIVLEY seeking out those folks.

Get in touch with BofA and get some answer from them…

You DO NOT have to be behind in your loan

We have done serveral short sales that are not yet behind on payments. Just don’t expect to make a spread on the transaction.

As for other things, lenders are now pushing for loan modification. Ask the homeowner if they want to mod their loan and if they don’t then short it.

Yes, it can be done… I short sale the second from 56 K to 3 K with deficiency judment waived. It was just nice to do it… It took me 2 weeks.

You do not have to be behind on a loan to do a shortsale.

When the seller writes the hardship letter, they need to definitely mention how much the market has turned. (If they can provide recent sold listings and surrounding foreclosure, that can help) Also, when you call the Loss Mitigator, you need to stress this to them! Depending on the Loss Mitigator/Bank, as well as your proof, will determine the outcome.

Also to Isacaro… Don’t be so nice on the second. $1K is good enough! :biggrin Start there and work your way up, but of course don’t go over $3K. (Just food for thought, if you already knew that, then good for you! You The Man!)