What is a short sale?

A short sale in California is a real estate transaction where a homeowner sells their property for less than the total amount owed on the mortgage, with lender approval. For homeowners facing financial hardship, a short sale can be one of the most effective ways to avoid foreclosure while minimizing long-term financial damage.

The process begins when a homeowner realizes they can no longer afford their mortgage. This could be due to job loss, rising expenses, divorce, medical bills, or other life changes. Instead of allowing the property to go into foreclosure, the homeowner lists the property for sale and submits a “short sale package” to the lender.

This package includes a hardship letter, financial statements, tax returns, and details about the property’s value. Once an offer is received, the lender reviews the entire file and decides whether to accept less than what is owed. You may request a consultation for Free Short Sale Assistance29 Palms

In California, many homeowners benefit from anti-deficiency protections, which may prevent lenders from pursuing the remaining balance after the sale. Compared to foreclosure, a short sale typically results in less damage to your credit and a faster path to buying another home.

Timing is critical. The earlier you explore a short sale, the more options you’ll have. If you’re struggling with payments or foresee future difficulty, it’s important to act now and consult with a short sale specialist.

Ready to talk to an experienced short sale Realtor? Call 800-546-2289 or complete the form at Short Sale Help Form 24 hours a day. Consultation is free and it will ease your mind. Not in High Desert or Coachella Valley? Contact parent company at midasrealtygroup.com or complete our short sale help form and you will be contacted by one of our Realtors that can help.