Can I Short Sell a San Diego House in Probate?

Yes, you can short sell a San Diego house in probate. We’ve done this successfully for many clients, and it’s a good idea.

Short selling before the estate is settled can be a helpful tool, especially if the estate or the heirs are struggling to keep up with mortgage payments. If the house is to be sold, it’s better to get it done quickly rather than pour estate or family resources into a house that’s upside down.

And – getting it “over and done with” can prevent the estate from exposure to a collections lawsuit on HELOCs and other junior lien holders should the first mortgage foreclose.

A San Diego short sale during probate is simply a smart way for an estate to make sure that they’ve cleaned up any lingering liabilities.

In addition to protecting the estate from liability, short selling now while there is but one executor to sign the paperwork can be much easier than waiting until two or more heirs would need to come into agreement. As it turns out, a short sale is often more streamlined when the debtor is deceased.

No two San Diego short sale situations are exactly the same, so we’d be glad to meet with you and discuss the best course of action for your specific situation.

You can reach us by writing td@tomdunlalp.com or by calling 619-929-1413.


Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.

This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.

Want the bank to agree to a short sale of your home? You’ll probably need to stop making payments.

San Diego homeowners who have been trying to preserve their credit rating but need to short sell are often dismayed to learn that they’ll probably need to stop making their mortgage payments in order to be considered for a short sale.

This is because the bank wants to see that continuing to make payments is a hardship. If you continue to make payments, no matter how far you’re going into debt to do so, they can’t see the hardship.

Once you stop making payments, you’ll get the attention of the analysts, negotiators and investors at your lending institution(s).

However, this is not the end of the world. If your other payments are up to date and you manage your money carefully, your credit scores will begin to improve as soon as the short sale of your home is final. In as little as 2 years you could be eligible for another home mortgage.

The thing to remember is:Every short sale situation is different. If you’d like specific answers that relate to your situation,call 619-929-1413 or write td@tomdunlap.com to ask questions and get answers that relate to your specific situation.

You may even be able to get the short sale of your home approved with all payments current. This largely depends on your lender and how much weight they give to short sale hardship letters. Each asset manager and each homeowner’s situation is different.

If you need help figuring out if you should stop paying your mortgage so you can do a short sale in San Diego, please don’t hesitate to contact us. We’ve studied each bank’s guidelines, know what carries weight for them in short sale hardship letters, and have developed a working relationship with most bank negotiators – so we can guide you in making that decision.

If you’d like to talk it over, call 619-929-1413 or write td@tomdunlap.com.


Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.

This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.

The Value of Persistence in a San Diego Short Sale

Robert Ringer, former real estate agent and best-selling author of “To Be Or Not To Be Intimidated,” and “Looking Out for #1,” writes a lot about success. One of his consistent themes is the necessity for persistence.

In one book he tells the story of dealing with call centers. In one instance he wanted to change his account information with a phone company. The representative told him he’d need to print a form, sign it in front of a notary, and mail it in.

But he didn’t want to go through all that, so he hung up and re-dialed. The next representative changed the information in the company computer system and he was done.

Another time he wanted to buy a product in bulk for a certain price. The representative said no, that couldn’t be done. So, once again he hung up and re-dialed.

The next person he talked to agreed to sell him the product in bulk for the price he wanted. He got what he wanted a lot faster and easier than if he had spent time arguing with the first person.

So what does succeeding with call centers have to do with closing San Diego short sales? Both require persistence.

Negotiating the successful short sale of any home begins with having the expertise to properly prepare both the paperwork and the argument in favor of the short sale. It requires having the facts to back the argument, and the persistence to make sure those facts are heard and understood. If the first person we talk with isn’t willing to listen or cooperate, we ask someone else.

Success also requires unrelenting follow-up, so that our clients’ files don’t get shoved aside or forgotten. This persistence increases our odds of success – and it’s a procedure that inexperienced agents don’t even realize they need to use.

When we list your San Diego area house as a short sale, our goal is to help you wipe out the upside down debt and remove the threat of foreclosure. We also want to keep you in a position to get a new mortgage loan in two years rather than the 7 to 8 years you’ll have to wait if your home goes to foreclosure.

Success in those goals requires the kind of persistence that refuses to take no for an answer. And that’s just the kind of persistence that we’ll use on your behalf.

If you are considering the short sale of a home in Carlsbad, Coronado, La Jolla, Rancho Bernardo, North County, Del Mar, Mission Hills, Kensington, or Metro San Diego, call the team that doesn’t give up.

To get your questions answered quickly, call 619-929-1413 or write td@tomdunlap.com. We’ll be happy to explain the real estate short sale process and answer any questions you might have about the possible short sale of your San Diego area home.


Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.

This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.

In a San Diego short sale, do I have to know who owns my mortgage loan?

Yes, when making application to short sell your San Diego house, you really do need to know who owns your loan.

Generally, it isn’t the company you pay. Most loans today are sold almost immediately after being granted. In fact, they may be sold 2 or 3 times within the first few weeks or months. Many are sold to Fannie Mae, Freddie Mac, or a Wall Street Firm.

The company you send payments to is simply a subcontractor, hired to collect payments, handle escrows and accounting, and manage their debt collections and foreclosures. These banks are “asset managers” and now, short sale negotiators, for the investors who actually own the loans.

The “Final Rule” amending Regulation Z (Truth in Lending) went into effect on January 1, 2011, and mandated that ownership must be disclosed. All investors acquiring mortgage loans are now required to provide the consumer with the name, address, and telephone number of the new owner, and the transfer date. They’re also required to provide the homeowner with the name, address, and telephone number of the party who is authorized to receive the mortgage loan payments.

However, most homeowners still don’t know who owns their loans – especially if ownership was transferred prior to January 1, 2011. But don’t worry. This is a detail that experienced San Diego Short Sale agents will ferret out for you.

But if I’m asking for approval to short sale my home, why does it matter who owns my loan?

Because knowing which bank or entity actually owns the loan is vital to short sale negotiations.

Each investor has its own guidelines regarding the selling price they’ll accept for a short sale relative to their own appraisals. Experienced short sale negotiators take the time to learn those guidelines so they can negotiate more effectively with the bank’s asset managers.

Successful San Diego short sale agents:

  1. Develop a working relationship with asset managers / short sale negotiators at each of the banks that handle mortgage loan portfolios for investors
  2. Know each investor’s guidelines
  3. Negotiate from a position of knowledge

We’ve kept hundreds of San Diego area homeowners out of foreclosure since this crisis began. We’d like to do the same for you, so if you own a home in Carlsbad, Coronado, La Jolla, Rancho Bernardo, North County, Del Mar, Mission Hills, Kensington, or Metro San Diego and are thinking about a short sale, get in touch.

You have short sale questions; we have answers.


Call 619-929-1413 or write td@tomdunlap.com We’ll be glad to talk with you with no obligation.


Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.

This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.

Who decides which short sale offer to accept? The Homeowner.

The Homeowner decides which offer to accept.

Because the seller’s lender has to approve a short sale, many believe that it is the lender who sees all the offers and decides which to accept. That’s not true. It’s just one of the misconceptions that’s been repeated so often that people have come to believe it.

As long as no foreclosure has been finalized, the homeowner still has the right to accept or reject any offer to purchase his or her home. The lender’s asset manager simply approves or rejects that offer after your agent submits it.

It is the San Diego homeowner who chooses the listing agent and sets the listing price, based on advice from his or her short sale listing agent. When the listing agent is experienced in San Diego short sales, that listing price will fall within a range that’s acceptable to the lender.

It is also the homeowner who chooses which offer to submit to their lender for approval.

A San Diego homeowner may reject any offer – for any reason.

San Diego homeowners aren’t obligated to entertain offers far below market value, and can in fact reject an offer simply because the buyer “rubbed them the wrong way.” It is still their house.

Unfortunately, some San Diego home buyers and their agents don’t understand this. Some believe that the homeowner must accept any offer and submit it to the lender.

Most of the time, homeowners have good reasons for rejecting an offer. Those reasons include:

  • Price: Your agent has advised you that the bank won’t approve an offer below a certain number, and this offer is lower.
  • The buyers want expensive repairs – and you don’t plan to spend any more money on the house.
  • The buyers have included excessive contingencies – a sure sign that they’ve probably submitted multiple offers and could decide to walk.
  • The buyers have not gotten a loan pre-approval – so you don’t know that they could actually close.
  • The buyer has not put down enough earnest money to make you feel that he or she is serious and they refuse to increase it.

If you are underwater with a home in Carlsbad, Coronado, La Jolla, Rancho Bernardo, North County, Del Mar, Mission Hills, Kensington, or Metro San Diego and are thinking of short selling, get in touch.

You can reach us by calling 619-929-1413 or writing td@tomdunlap.com.

As San Diego Short Sale specialists, we have helped hundreds of homeowners avoid foreclosure over the past 9 years. In fact, we have maintained a 98% success rate in getting our short sales closed.


Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.

This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.

Should You Keep Making Payments on an Underwater San Diego Home?

Are you among the hundreds of San Diego homeowners who purchased your home at or near the top of the market – and now, even though prices are rising, owe far more than the home could bring in a sale?

Were you led to believe your home would go up in value, and that it would be easy to refinance out of your adjustable rate mortgage before the interest rate reset? Even if you have a fixed rate mortgage, you’re probably frustrated because your house is “underwater” so you can’t refinance into today’s low rates.

Why are you continuing to pay?

If you’re in this situation, you may be asking yourself why you’re continuing to make payments when it could be years before your home is again worth it’s purchase price – or even its mortgage loan balance.

You’d probably like to keep the home – but pay less.

You’d probably love to get a loan modification with a principal reduction and a fair interest rate – so you can make payments on your home based on its value in today’s market. Unfortunately, banks aren’t interested in making principal balance reductions.

We know, there’s some talk of principal reductions in the new news coming out of Washington. At this point, it’s just talk, and it only applies to a handful of borrowers.

Meanwhile, banks resist principal reductions because they have to be written off on the books immediately. That hurts the company’s reported earnings – and reduces the CEO’s ability to get a bonus at the end of the year. It could even threaten his job.

An interest rate reduction (which is temporary) shows a much smaller loss – and thus makes a much smaller impact on the CEO’s bonus.

In addition, experience has shown us that most loan modification attempts fail – sometimes after causing financial devastation for the homeowner. For many, foreclosure is the final result of a loan modification attempt.

Offering your home as a San Diego short sale is a better plan.

First, when you short sell, neither your first nor your second lien holder can come after you for a deficiency judgment. If you let the house go into foreclosure, that second lien holder can demand payment.

Second, a short sale has a smaller impact on your future. Your credit scores aren’t as severely damaged, and you’ll be eligible for a new mortgage loan in as little as 2 to 3 years. After a foreclosure, you’ll wait 5 to 8 years.

Now that second lien holders can’t demand deficiency payments, it takes a strong negotiator to get them to agree to a short sale. There’s no doubt that short sales demand a greater commitment and greater expertise from your REALTOR®, which is why you hear so many stories about the difficulties of closing short sales – and why you need expert assistance.

As San Diego short sale specialists, we have developed methods for approaching the banks so that our clients can sell short, even with second mortgages, and even when they have both assets and income. In fact, we have a 98% success record in closing the short sales we list.

Every short sale situation is different. If you’d like specific answers that relate to your situation, call 619-929-1413 or write td@tomdunlap.com.

We’ll be glad to explain in detail how the San Diego short sale process works, and to answer all of your questions. So contact us today.


Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.

This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.

How long does a short sale take?

How long does it take a bank to approve a San Diego short sale?

We tell everyone that it will take 90 days from the time of the offer to get an approval from the banks. Sometimes this happens in 60 days. Some banks are more organized than others and can even pull it off in 30 days.

The reason so many San Diego real estate agents will tell you bank approval on the short sale of a home can take 6, 9, or even 12 months or more is that their short sales were not properly presented to the lender’s asset managers.

Each bank has their own real estate short sale process and their own preferences with regard to how a package must be presented. When agents fail to follow those preferences, their short sales are delayed.

We’re experienced in presenting our San Diego short sale packages correctly the first time – so there are no unnecessary delays.

Every short sale situation is different. If you’d like specific answers that relate to your situation, call 619-929-1413 or write td@tomdunlap.com.


Please note that the information provided on this San Diego short sale page is generic, academic information used for general information purposes and may not be construed as or relied upon as a promise for a specific outcome.

This site provides information about real estate, law, income taxes and credit scores as relates to borrowers in distress, short sales and similar situations. The site is designed to help users safely cope with their own needs. Information is not the same as advice — the application of law or regulations to an individual’s specific circumstances. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a lawyer, tax adviser or other specialist if you want professional assurance that our information, and your interpretation of it, is appropriate to your particular situation. The models in photographs accompanying the testimonials on this website are used for illustrative purposes and are not a personal endorsement.