IL – Bank of America's Cooperative Short Sale makes the entire short sale process easier for everyone involved. 

The bank has rolled this out because a short sale reduces their losses compared to a foreclosure. A short sale is quicker than a foreclosure and it doesn't tarnish the bank's reputation as much as a foreclosure.

IL – Bank of America is rolling out a new short sale program that will provide the quickest route to a short sale decision. 

The bank came up with this programs to help ensure that homeowners are able to explore all their options and avoid foreclosure.

IL – Homeowners who would prefer to get out from underwater may prefer to do a short sale compared to a loan modification. 

A short sale means the bank will accept a reduced payoff and release the loan. If your home is worth dramatically less than the amount owed, it might make more sense to do a short sale and be relieved of the burdened debt.

IL – You should put every little thing you have to show that your situation is real and that you cannot afford to make your mortgage payment. 

Use numbers and percentages to explain the loss your of income or negative cash flow. For example, instead of saying "I'm borrowing money to make the mortgage payments", disclose the dollar amount and source of that debt.

IL – It is not a lot of fun to write a hardship letter. In fact, it can be depressing. Many people may not know how bad their lives have become until they reach a point of writing a hardship letter. 

Sometimes seeing all those awful things in writing is startling and some people start crying. However, do not turn and start talking about how your life will improve.

IL – When I interview sellers who want to short sale in my area, I ask them to describe their hardship. 

Agents who do a lot of short sales can sometimes become a little insensitive because we are focused on the statistics. For instance, when a seller says she is getting divorced, it's possible that I may not show a lot of emotion.

IL – Many people think a hardship is mainly based on financial matters and that is not necessarily the case. 

Anything that makes it difficult for you to keep on making a mortgage payment might qualify to be a hardship.

IL – The Stop Foreclosure Institute recently received a question from John. Here was his question. 

 “I am current on my mortgage with X Bank (one of the top 4 US banks.) However, I would like to short sale and move for my new job. 

I am current on my mortgage. Will my lender consider a Short Sale, even though I am not behind on the payments? Thanks for your help. John."

IL – The Stop Foreclosure Institute recently received a question from Dan. Here was his question. 

“My property is in rough shape and needs work. Can I still do a Short Sale? Dan.”

IL – The type of hardship that your lender will consider legitimate depends on the mortgage company considering the Short Sale request. 

In general, so long as the hardship is real & acceptable and the mortgage company believes the loan is likely to become delinquent. As a result, the Short Sale request will be processed by the Loss Mitigation Department.