Hardship Short Sale Letter

Colorado Short Sale Hardship Letter Example

When you prepare your documents to request your lender to grant their permission for you to short sale your home, your licensed, Colorado short sale agents will  begin negotiations with your mortgage lender(s). This Colorado short sale package will include your hardship letter, outlining the precipitating events surrounding your financial situation.

More specifically, you will need to provide a hardship letter to your Lender(s) outlining the financial hardship you are experiencing. This letter should be brief, no more than one page, and factually outline the circumstances that brought you to the point of making this short sale request. Avoiding aggressive statements, keeping the letter as unemotional as possible, but making a direct request is the most successful format to present.  Consider permitting your Colorado Short Sale Agent to take the opportunity to review it prior to submitting the letter to your lender(s).

Here is a hypothetical example of what an approved  hardship letter should include:

Your Name

Your Address (of your primary residence that you need to sell)

Your social security number

Your telephone number and email address

The current Date

Lender’s Name & Title, Bank name, Address, telephone number and fax number

Loan account number (1234567B) on your first loan and any second loan you might have

Bank Name:

We are contacting you to request a consideration for a short sale on our property located at _____. Thank you for the opportunity to present the events that have resulted in our current delinquent status on our mortgage. We have made every effort to improve our financial situation to cover our obligations but we have been unable to bring in the necessary income. We have cut out all discretionary spending to the bare bone but the ongoing losses continue, making it very difficult to pay what we owe on our loan(s).

We are delinquent because (insert specific reasons here: job loss, loss of hours at work, medical crisis, divorce, death, adjustable rate loan has adjusted upward beyond the ability to pay, you can’t sell or refi the home for what you owe because your home is worth less now than when you bought it, etc).  Based on these events, we currently cannot generate enough income to make our regular monthly payments. We are seriously concerned that our delinquency will continue to increase, making our ability to pay back the amount we owe (including all back owed amounts) impossible – which will result in a foreclosure. We had every intention of paying what we owe; however, we do not know how to proceed in accomplishing this based on our current economic situation. It appears that this financial situation we face will continue for quite some time in the future. We are seeking the banks approval in exercising the option of a short sale in this matter.

We would like to begin the process of requesting that the bank allow us to sell our home thru the short sale process. This short sale option would greatly assist us with our financial obligation and responsibility to pay the loan. We want to work with the bank to achieve a mutually beneficial solution, thereby keeping the property out of imminent foreclosure. We have contracted with a professional, experienced, licensed, Colorado short sale agent who is familiar with the short sale process and will work diligently on our behalf to get an acceptable offer. Please respond at your earliest opportunity and let us know if you will permit us to sell the home with the bank’s short sale approval at this time. We want to avoid bankruptcy and foreclosure. We are desperate to reach a manageable solution to this untenable situation and will greatly appreciate your positive response to this request.

Respectfully,

Sign your name as the Borrower(s)

Primary Physical Residence Address

Telephone Numbers of Borrower(s)

This hardship letter is an important part of your request for permission from your lender to allow the short sale process. The facts you have presented will help the bank make a positive  determination in your favor on your eligibility for a short sale. Your  Colorado short sale agent, should negotiate with the lien holder for forgiveness of any  deficiency (difference between the amount the property sells for and the amount you currently owe) during the hardship request process and during the negotiation process, once an acceptable offer is received.

Remember, you are not alone in this process – your Colorado Short Sale Agent, will be there representing your best interests and supporting your position in seeking the financial relief you need.

An Accredited, licensed, Harris Real Estate University Colorado Short Sale Agent is trained to seek the forgiveness of any anticipated deficiency from the onset of contact with your lender(s).

Call today if you need a free, no obligation, consultation concerning your circumstances.

Accredited Harris Real Estate University Colorado Short Sale Agents