Documents

The following documents are needed in a short sale package:

Tax Returns (last 2 years)

Bank Statements (last 2 months)

Pay Stubs (last 2 months)

Hardship Letter

Authorization Letter to Your Lender

Copy of Your Most Recent Mortgage Statement(s)

Copy of Your HOA Statement (if applicable)

Sample Letters & How-To's

In your financial hardship letter you should:

Keep it brief and to the point

Do not be too vague in your explanation, or too technical

Write with feeling and emotion

Identify the reasons for failing to keep current with your monthly payments and the dates which coincide with the delinquency period

State your offer to resolve your debt

Be humble and courteous

Example of Hardships:

Loss of employment

Loss or decrease of income / fixed income

Divorce and/or child support

Medical complications or illness / medical bills

Death of spouse or co-borrower

Incarceration

Military Duty

Home is "Under Water" [your loan(s) far exceed(s) your home's current market value]

Keep the hardship letter format to a minimum, outlining the facts in a specific and concise manner. Include any relative and/or supporting documents. The hardship letter is a vital step in the short sale process.

Tips on how to write a Letter of Authorization

As the seller, you should write a letter authorizing your agent, lawyer, or other interested parties to talk with your lender on your behalf regarding the short sale. The following information should be included in the letter:

Date

Property Address

Loan Reference Number

Your Name and Contact Information

Your Agent's Name and Contact Information