Get the consent of the mortgage lender once you find a potential buyer, you will need to come into contact with the mortgage lender to get permission to proceed with the sale. If you sell your property as a short sale, the lender will lose money. As a result, lenders tend to be reluctant about let you sell your rental property unless you can prove you can not compensate their mortgage loan altogether. To do this, you will need to contact to your lender so that you help with mortgage, discovers who is responsible for handling short sales and get your contact information. Be sure to be specific supervisor rather than the Department of short sales in general. Once that is taken care of, you will use contact information to submit the following documents: letter of authorization this is a letter that authorizes the lender to disclose your loan information to professionals in the properties real estate that will be involved in the sale.
The letter must include its name, the direction of the feature, your reference number of the loan and its name of agent and contact information. Preliminary net sheet this is a statement that must include selling price and estimated costs under closed, pending payments due and recent fees. Letter of the difficulty this letter explains why their situation financial forces him to do a short sale and not leave him with enough resources to compensate your loan in full. The sales documents this includes copy of the buyer’s offer and the copy of your listing agreement. Once the documents are presented, the supervisor of short sales will decide if allowing a sale cuts. However, your agreement may be conditional. Since the sale cannot go forward without the permission of the lenders, lenders may alter the conditions of the sale to his advantage (even if sabotages the sale), and there is nothing you can do about him.
Implications of the tax you have a right to deduct capital losses the loss of benefit of its characteristic of rent during the last tax year. However, you do not may deduct any costs involved in short selling, including the difference between the purchase price and the sale price. In addition, if you possessed his characteristic of rent for more than 11 years, you will have to pay a 25 percent depreciation regains tax.