top of page
Modern House Exterior

What is a Short Sale
Why hire Boise's Best to get you through this!

Basic Definition

A short sale occurs when a homeowner decides to sell their house or real estate for an amount less than the outstanding mortgage balance, primarily to prevent foreclosure. Approval from the mortgage-holding lender is essential for a short sale to proceed.

For a sale to qualify as a short sale, two conditions must be met:

  1. The homeowner is possibly behind on mortgage payments and is unable to catch up. Alternatively, they may be facing a hardship, such as a job loss, divorce, natural disaster, or a family member's death, making it challenging to meet future payment obligations. Properties in imminent danger of foreclosure are often referred to as distressed properties.

  2. The property's current value is lower than the remaining mortgage balance.


Typically, a short sale represents a homeowner's final attempt to avoid foreclosure. However, because lenders aim to minimize financial losses, they are not typically eager to sell a property at a deficit.

Lenders take their time in the short sale process, seeking to recover as much of their loss as possible. It's crucial to note that just because a property is listed as a short sale, it doesn't guarantee that the lender will accept an offer, even if the seller agrees to it. This complexity is what makes the short sale process challenging.

In sum, here is the Short Sale Process in Idaho:

  • Offer is submitted to short sale lender after being negotiated with seller. Included in the offer are:

    • Purchase agreement

    • Pre-approval letter

    • Proof of funds to close (if applicable)

  • No offer shall be considered complete without the three items listed above.

  • Buyer can wait until acceptance by lender is received to proceed with their appraisal and home inspection. Contingencies will need to be released 10 days after acceptance.

  • Lender will accept or decline offer verbally with agent. This process can take anywhere from 30 to 90 business days. The lender MAY NOT COUNTER. Typically the offer is either accepted or declined. However there are exceptions to every rule.

  • If offer is accepted, lender will send an acceptance letter based on agreed terms and set a close of escrow date. The terms usually cannot be altered after the fact and most transactions are as-is.

  • Buyer is to release contingencies within 10 days after acceptance and escrow is to close as soon as possible after acceptance or by close of escrow date set forth by lender.

  • If the agreed upon close of escrow date is late due to any fault of buyer, a fee set by the lender will be accessed.

  • If offer is declined, buyer can re-submit a higher offer for consideration. This process should take considerably less time, usually within 15-20 business days.

  • This entire process can take up to 60 days or longer. Patience and cooperation from all parties can make the process considerably shorter.

Leigh Wilson stands out as an exceptional realtor in the Treasure Valley, distinguishing herself not only for her overall real estate prowess but also for her expertise in short sales. With an impressive track record of successfully navigating over 400 short sales, Leigh has not only demonstrated her proficiency but also served as a certified short sale instructor for numerous fellow agents. When traversing the intricacies of the short sale process, it's crucial to engage the services of a real estate professional with specific expertise in this domain. The intricacies of short sales can be overwhelming, even for seasoned agents. Notably, the national success rate for short sales is below 10%, whereas Leigh Wilson boasts an extraordinary success rate of 98%. Your choice of a realtor makes a significant impact – choose wisely, choose Boise's Best!

bottom of page