FAQ’s

Frequently Asked Questions

What is a short sale?

A short sale in real estate occurs when the outstanding loans against a property are greater than what the property can be sold for. The bank then allows a short sale to clear up a portion of the debt but realizes they will still take a loss.

What if my home is worth more than my loans, but I could not pay the closing costs?

That can still be considered a short sale. Go to the Short Sale tab to read more about the process.

Who will pay your commission?

The bank will. You will pay Indy Home Help $0.

Who will pay the attorney / Title Company?

The bank will. The attorneys and Title Companies Indy Home Help works with will NEVER send you a bill. This includes even if the property does not sell.

How much work will this take?

Not much for you. We will ask you to gather certain financial information and forms for us. We will handle the negotiations with your banks.

Will my neighbors, friends or family know?

NO. Unlike a foreclosure, (which is public knowledge) the short sale private. We will NOT tag your home as a short sale on the MLS either. This is done to pad some Realtors stats, but could be directly tagged back to you.

If I am going through foreclosure, can I do a short sale?

YES. In fact, the bank will be more than happy to work with you on a short sale. It is to the banks and your advantage to work out a short sale.

Why is it to my advantage to do a short sale?

A foreclosure will hurt your credit far far more. Credit Repair will be much easier after a Short Sale than after a Foreclosure.

Can I stay in my house until the short sale is completed?

YES. You will not have to move out until the closing.

I’ve been served papers of Lis Pendons, do I still own my house?

Yes, you do. You own your house and still have all the rights to sell, rent, etc. your house as you wish, but the clock is ticking quickly. Contact us immediately and we’ll go over your options.

 Why don’t I just walk away and let the bank take the property?

Actually, you can do that, it is your right. However, the reality is the bank will typically go for the maximum collection on the full amount and you will have a foreclosure on your records for 7 years or more. If you qualify and Indy Home Help handles the short sale for you, you can still walk away after we start the process. But this time we will help you avoid the foreclosure completely and fight the banks on your behalf!

Seller Benefits

1. Highest Closing Rate – National Short Sale closing average is 21% – Indy Home Help’s Short Sale Closing Average is 91%
2. Negotiations – We negotiate all of our short sales in house and through our private law firm. Not only that, we negotiate for other Realtors short sales too (Keller Williams, Coldwell Banker, Century 21, ERA and more) .
3. Our Services are FREE to you! – no out of pocket expenses at all!
4. You will not lose, or have a lien on any other home you own. If you do not succeed in any aspect of the short sale, the bank(s) will come after all of your assets.
5. Your credit will recover in as little as 2 years. This is far better than the 7 to 10 years that most homeowners in your situation will face.
6. You will not have to go into Foreclosure. That is what happens to over 80% of the home sellers that are in your situation.
7. You will not have to go into Bankruptcy. This is exactly what will happen to you if you do not have the $$ to pay the bank back the shortage.
8. You will not have to pay the attorney, title company, appraiser, or your Realtor (us) fees- Most home sellers still must pay many of these expenses, thus costing them $1000’s.
9. You get an entire team to assist you. Not just one agent running around like a chicken without its head. You get the best in Realtors, free access to our law firm, expert short sale title company and more.
10. You will not have to pay taxes on the default amount of money (your primary residence).

Short Sale Definitions

Bankruptcy: A legal alternative that allows the borrower to clear any debt obligations by restructuring the payment terms. A bankruptcy stops the foreclosure process until the bankruptcy process is completed or the court allows the lender to resume the foreclosure.

Deed in Lieu: Voluntary conveyance of title in exchange for a discharge of debt. The house must be free of other liens and must have clear title. In simple terms, the borrower agrees to transfer title of the property to the lender, who accepts the property in exchange for the total debt.

Deed of Trust: A legal document that dictates the terms of a loan used to buy a property and transfers the ownership of the property to a third party called a trustee until the loan has been paid in full.

Default: Occurs when the borrower does not meet its legal obligations according to the loan terms.

Forbearance: Under a forbearance agreement, the lender agrees to stop the foreclosure process and determines payment terms that, at a certain time, will bring the borrower current.

Foreclosure: A process in which a lender attempts to recover the amount owed on a defaulted loan. The lender has the option of selling the property or repossessing the property. The beginning of a foreclosure process starts after a borrower defaults on mortgage payments and the lender files a Notice of Default or Lis Pendens.

Lien: A legal claim on a property by a lender or other entity (called the lien holder) against the property owner that owes the money.

Lis Pendens (LIS): A publicly recorded notice of a pending lawsuit against a property owner that may affect the ownership of a property. This process is required in a few states to begin the foreclosure process if a borrower is in default.

Loan Modification: A transaction in which lender agrees to modify any or some of the terms of the mortgage. This is a process where an existing note is modified, but not canceled. Changes may include: extending the term of the loan, changing the monthly payments, changing the interest rate, etc.

Notice of Default (NOD): A publicly recorded notice stating that a property owner is behind scheduled loan payments for a loan secured by a property. This process is required in a few states to begin the foreclosure process if a borrower is in default.

REO (Real Estate Owned): A class of property owned by a lender, typically a bank, after an unsuccessful sale at a foreclosure auction.

Reinstatement: Occurs when the property owner pays off the amount in default to bring the loan payments current in order to stop the foreclosure process and return to the original terms of a loan.

Short Sale: (Also called “Short Pay” or “Pay Off”) A process in which a lender agrees to receive a lower amount of an owed debt in exchange for the sale of the property to a third party.

Why Indy Home Help?: We are central Indiana’s most successful short sale experts. Our short sale average closing success rate is 91%, industry standard is 21% – has never been matched. Our short sale knowledge and experience is unrivaled in the area. Let us save you months, maybe even years, of stress. Contact Us to find out how.