Sunday, May 3, 2015

Why It's Important To Use A Short Sale Attorney Oak Brook

By Stella Gay


Most people don't sell their properties more than once or twice in their entire lives. They are unaccustomed to disposing of such an immensely priced asset, and definitely not one which is so central to their lives, either. Property transactions take much longer than others to finalize and are associated with legal regulations which the seller is not conversant in or was unaware of. This is particularly possible if the property is being sold by an indebted owner. If that is the case, a short sale attorney Oak Brook should be consulted to assist.

A short sale of a property simply means that the price of the property is not going to cover the debts of the owner's estate. The latter therefore owes more than they can raise by selling it. This has obvious legal implications, and a lawyer should be asked for advice.

Usually, people do not sell their property to service their debts. So, it would typically imply that the debtor is bankrupt already. It may also be the property of a deceased estate, in which case the deceased person plays no role in the execution or winding up of their estate. The absence of their input also has legal implications.

The primary inquiry revolves around the allocation of the revenue to the creditors. There needs to be some decision as to how they are prioritized, or if the money is going to divided among them, what percentage each one is going to get. It is important to answer these questions officially, using proper legal documentation. Otherwise, subsequent lawsuits or unhappiness might be the result.

Secondly, where debt is concerned there is sometimes time pressure. Creditors want to know when they are going to receive their money, and they may start to apply pressure to conclude the sale. This is an unnatural approach to real estate sales and typically results in a lower sale price. This disadvantages everyone concerned. An attorney can communicate with creditors in such a way that they desist from this practise.

Another suspicion on the part of observers might be that the eventual price was too low, or not related to the market value of the property. Impatient creditors cause this suspicion to be harder to answer. The lawyer should subdue the creditors and make it possible for the sale to be as natural as possible. The alternative is for the seller to be compromised financially.

It is also imperative to remember the last will and testament of a deceased estate. The will can actually exclude creditors entirely, or modify their repayment terms. If the will has beneficiaries, and if they take precedence over the creditors, this is legally enforceable. However, it can cause serious friction because the deceased might not have had the legal authority to incur the debts that they did when they were alive. The creditors then have no claim on the estate.

A short sale suggests that there is a negative issue concerned with the owner's estate or the property itself. It is a potentially fractious situation and one which a trained, experienced attorney can handle with the necessary sensitivity. The estate needs to be protected against insistent creditors who are concerned that their debts will not be met in full at the expense of the others or the estate itself.




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