A hardship occurs when a home owner’s financial circumstances change, for any number of reasons, they can no longer afford to keep up the payments on their property. There are many hardships that lenders will consider when deciding whether to accept a short sale. Some examples of hardships are:

• Divorce or splitting of domestic partnerships.
• Death of spouse.
• Loss of job.
• Change to a lower paying job.
• Job relocation during a time with a deficient equity.
• Unemployment.
• Personal medical illness.
• Illness of a family member in need of care.
• Physical injury.
   

Hardship reasons can vary and all cases are different. The lender will decide if you qualify for a short sale depending on your individual hardship situation, but many times, will accept one. When you list your house with a real estate agent, you will be asked to hand write a hardship letter, explaining the financial changes that have occurred since you first purchased your property. Your hardship letter should be:
 

1. Honest. Being truthful is always the best way to go about doing anything and if you are behind in your payments, chances are, you have a good honest answer as to why.
 

2. Describe your hardship. The most effective hardship letters explain the emotional and financial reasons a short sale is necessary. If you have more than one reason, write them both down with a short description of why, or what lead to the hardship.
 

3. Keep it down to one full page. Lenders generally don’t read past the first page of hardship letters. Even though you may have a lot you would like them to know, try to make your explanations short.
 

4. Don’t rush when writing your hardship letter. The more thought you put into it, the better it will be. You might even want to use the first letter as a draft and re-write it over again, to give it a final polish.
 

To get assistance with your short sale, Contact Susan, your Antelope Valley real estate professional at 661-305-0385.