New Jersey Real Estate Attorney

Martin Pankiewicz, Esq. focuses his practice primarily in residential real estate closings, including the purchasing of a home, selling a home and/or refinancing a home, the acquisition of multi family residential projects, condominiums as well as negotiating a short sale transaction. He provides his clients with the legal services they require in connection with their real estate closing.

NJ real estate attorney, Linden, NJ NJ real estate attorney, Linden, NJ

Short Sale Transaction

More and more homeowners find themselves overwhelmed by their mortgage debt. For owners who can no longer afford to keep mortgage payments current, a short sale is the intelligent alternative to bankruptcy or to foreclosure proceedings. Short sales can preserve a homeowner’s creditworthiness and can help homeowners avoid the harsh long-term consequence of a foreclosure.

A short sale in real estate occurs when the outstanding obligations (loans) against the property are greater than what the property can be sold for, or refinanced for. Short sales are a way for home owners to avoid foreclosure on their homes and be able to pay off their loans by paying less than what the payoff amount is, to their lenders. Negotiating a short sale with the lender is a difficult process for many reasons: it is hard to find the bank officer who has the authority to accept the discount. Once you get in touch with the correct person, the difficult task of negotiating can begin; it is then a project to convince the officer to understand the nuances of your situation so that they will accept the discounted offer.

Mortgages have become extremely anxious to offer short sale discounts in an effort to minimize their own potential losses and to avoid the protected process of foreclosing. For a seller in a short sale, the process tends to be both unique and complex. It usually involves intermediation between first and second mortgagees as well as the need for extensive drafting of agreements and release agreements. The short sale attorney’s role is pivotal to the success of most short sales. Martin Pankiewicz, Esq. has developed real experience to become an aggressive short sales negotiator. He initiates the short sale process by opening communication with loss mitigation officers, which in itself, is often a cumbersome process. Martin Pankiewicz, Esq. can provide property specific data to the lender and they can arrange for the homeowner to provide proofs of hardship which are required by mortgagees before they will consider the terms of short sale. Ultimately a skilled short sale attorney like Martin Pankiewicz, Esq. representing the seller, who secures meaningful protection for his clients and will who bring the short sale to a successful conclusion.

Without an experienced person to guide you through the process, many short sales fall through. We understand what the lender requires for them to be in the best position to grasp your financial situation. The down side of the short sale is that lenders are not required to discount payoffs, and there is no guarantee the lender will let you do the short sale. In the past, a lender would not even consider a short sale if your payments are current, but that is changing. However, realize that lenders will be more agreeable to negotiate if your payments are in arrears. Plus, if you have cash assets, the lender might try to tap those accounts.

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