08/25/2026
The part of a short sale that surprises people most: ๐๐ต๐ฒ ๐ด๐ฎ๐ฝ ๐ถ๐ ๐ฏ๐ถ๐ด๐ด๐ฒ๐ฟ ๐๐ต๐ฎ๐ป ๐๐ต๐ฒ ๐ด๐ฎ๐ฝ.
Say you owe $500,000 and the house is worth $450,000. Most people look at that and see a $50,000 problem.
But nobody sells a house for free. Commissions, transfer tax, title and attorney fees, prorated property taxes โ figure roughly 8โ9% of the sale price. On $450,000, that's around $38,000 before anyone touches a repair.
And repairs come up. If the roof is at the end of its life or the HVAC quit, a buyer's lender may require it fixed before they'll fund the loan.
So the real shortfall isn't $50,000. It's closer to $88,000.
That's not a reason to panic โ it's the reason the lender has to approve the sale in the first place. They're the one absorbing that number, not you. It's also why "I'll just sell it myself and write a check for the difference" falls apart for most people about ten minutes after they see an actual net sheet.
Three things have to happen for a short sale to work:
1. The hardship is documented โ job loss, illness, divorce, a change that made the payment unsustainable.
2. The lender approves the sale โ the home is listed, an offer comes in, and they review both the price and the hardship package.
3. The property closes โ proceeds go to the lender, and in many cases the remaining balance is forgiven in writing.
That last clause is the one to read carefully. Georgia allows lenders to pursue a deficiency, so whether the balance is actually forgiven lives in the language of the approval letter. It is not automatic.
If you want to know your real number before you make any decisions, I'll run the net sheet. Takes about a day and costs you nothing.
Free guide: https://movetogeorgia.org/georgia-short-sale-guide/
Or text me: (470) 326-7077
Jennifer K. Lewis, REALTORยฎ