Foreclosure & Short Sale FAQ

Foreclosure is the legal process a lender uses to take back a property when a borrower stops making mortgage payments. Florida is a judicial foreclosure state, meaning the bank must file a lawsuit and get a court order before selling your home. This process typically takes 12–24 months, which gives homeowners significant time to explore alternatives like a short sale, loan modification, or deed in lieu of foreclosure.

Most lenders begin the formal foreclosure process after 90–120 days of missed payments. You will first receive a Notice of Default, then a lis pendens (lawsuit filed with the court). From there, the process moves through the court system, often 12 months or more before a sale date is set. You have far more time than most people realize, and that time is valuable for taking action.

A short sale is when you sell your home for less than what you owe on the mortgage, with the lender agreeing to accept the proceeds as full (or partial) settlement of the debt. Unlike foreclosure (which is done to you), a short sale is something you initiate with the help of a specialist like Edis. It typically results in far less credit damage, no public auction record, and lets you stay in control of the process.

A short sale does affect your credit, but significantly less than a foreclosure. A foreclosure typically drops your credit score by 150–200 points and stays on your report for 7 years. A short sale is usually reported as "settled for less than full amount" and the impact is generally 50–100 points. You may qualify for a new mortgage in as little as 2–3 years versus 5–7 years after a foreclosure.

No. Edis's commission is paid entirely by the lender as part of the short sale approval, not by you. There are no upfront fees, no hidden costs, and no obligation. The consultation is free. You pay nothing out of pocket for the entire process.

Yes. A short sale can be initiated and completed even after a lis pendens has been filed. As long as the property has not been sold at a foreclosure auction, you have options. The earlier you act, the more time there is to negotiate with the lender, but even late-stage foreclosures can be resolved with the right specialist.

You generally need to demonstrate financial hardship — job loss, medical bills, divorce, death of a spouse, relocation, military deployment, reduced income, or insurance costs that have made the payment unaffordable. You also typically need to owe more than the home is worth (or close to it). Edis will assess your situation in a free consultation and tell you honestly whether you qualify.

Florida law includes protections against deficiency judgments in many short sale situations. In many cases, lenders agree to waive the deficiency as part of the short sale approval. Edis will negotiate this as part of the process, and she works closely with real estate attorneys when a legal opinion is needed. This is one of the most important parts of the short sale and one of the reasons you want a CDPE-certified specialist handling it.

CDPE stands for Certified Distressed Property Expert. It is the most recognized professional designation for real estate agents who specialize in foreclosure and short sale situations. CDPE-certified agents have completed extensive training in lender negotiation, hardship documentation, and the legal and financial implications of distressed sales. Edis has held this certification for years and has applied it in hundreds of transactions.

A deed in lieu of foreclosure is when you voluntarily transfer ownership of your home directly to the lender to avoid the foreclosure process. In exchange, the lender releases you from the mortgage obligation. It is less damaging to your credit than a foreclosure, but typically requires that the home not have other liens or second mortgages. Edis can tell you whether this option makes sense for your specific situation.

Yes. That is exactly what a short sale is. You sell the home at market value, the lender receives the proceeds, and they agree to forgive the remaining balance (the "short" amount). This requires lender approval and proper documentation, which is what Edis handles on your behalf. The process takes 60–120 days from listing to close.

Hurricane Ian significantly impacted property values, insurance premiums, and the financial stability of thousands of SWFL homeowners. Many properties that were previously above water on the mortgage are now worth less due to storm damage, insurance non-renewals, and soaring premium costs. This has directly contributed to an increase in short sale and foreclosure activity across Lee and Collier counties, which is exactly the environment Edis specializes in navigating.

The lender typically requires: the last two years of tax returns, two months of recent bank statements, a hardship letter explaining your situation, proof of income (or proof of income loss), a recent mortgage statement, and a listing agreement. Edis will walk you through every document, help you write the hardship letter, and assemble the entire package for lender submission.

No. You can remain in your home throughout the short sale process, which typically takes 3–6 months. In some cases, lenders also offer relocation assistance (cash for keys) to help with moving costs. Edis will advise you on timing and what to expect at every stage.

Yes, completely. There is no charge, no pressure, and no obligation. Edis will review your situation honestly and tell you what your options are, even if a short sale is not the right answer for you. Everything you share is confidential. Call (239) 276-9996 or use the form below.