An old house in a rural field with a blue sky and scattered clouds.

SHORT SALE

When a homeowner with a reverse mortgage passes away or leaves the home, families are often surprised to learn that the property value may be less than the HECM loan balance. When this happens, HUD allows the home to be sold for the appraised value — even if it is significantly lower than the amount owed. This is called a HUD Short Sale.

Most heirs discover the property needs repairs, has deferred maintenance, or hasn’t been updated in many years. This is extremely common in reverse mortgage situations and fully expected by HUD and FHA appraisers.

The key is taking the right steps early.
Even though the reverse mortgage process itself can be slow or unclear, delays on the family’s side can still cause problems — including the risk that the file may:

  • lose Short Sale eligibility,

  • be transferred to HUD’s Asset Sale program, or

  • move closer to foreclosure status.

Starting early simply helps protect the estate’s options.

I specialize in reverse-mortgage Short Sales and work directly with HUD, servicers, appraisers, title companies, and probate attorneys so families don’t have to navigate this complicated process alone.

My role includes:

  • Reviewing HUD/HECM requirements and timelines

  • Coordinating all Short Sale documentation and submissions

  • Working directly with HUD to obtain short sale approval

  • Ensuring all FHA-required verifications and appraisal steps are met

  • Communicating with your Probate Attorney, Title Company, and Buyer

  • Keeping the file compliant so it is not pushed into Asset Sale or foreclosure

  • Securing allowable closing-cost assistance from HUD whenever possible — which often covers my commissions

Most families do not pay out-of-pocket for my services. HUD allows commissions and many transaction costs to be paid from the sale proceeds under Short Sale guidelines.

Every Short Sale is different, but families often need help with:

  • Confirming eligibility

  • Understanding payoff options

  • Requesting HUD’s appraisal

  • Meeting HUD’s documentation needs

  • Communicating with the servicer

  • Coordinating with probate attorneys when needed

  • Avoiding unnecessary delays

My goal is to keep your file compliant, moving, and protected from preventable setbacks.

I can walk you through the first steps, explain what HUD will require in your situation, and give you a clear plan. Whether you’re an heir, executor, attorney, or authorized party, I will handle the communication and paperwork so you don’t have to.