A Short Refinance, also known as a short payoff, is a transaction, where the lender agrees to accept less than the full amount owed on the current note. 

Instead of the property being sold, it is refinanced with a new lender.  The short refinance allows the homeowner to retain ownership of the property, while at the same time avoiding a foreclosure or possible bankruptcy.

If you want to keep your home, but don't have enough equity to get into a foreclosure bailout loan, a short refinance may be your answer.  By negotiating a short refinance with your current lender, we can obtain a payoff of less than the full amount owed, and refinance your home with a new lender.

Foreclosure is an expensive solution for a lender.  Not only does the lender not receive payments for up to a year, but they also lose out on fees, including legal fees, associated with the procedure.  A short-refi (short refinance), is one alternative that lenders may accept, since it can be much more cost effective for the lender.

Admittedly, the idea is still catching on and Lenders are not always willing to take the hit when they think there could be other options, like Loan Modification, which we also specialize in.

A short-refi is similar to a short-sale, but the main difference is that a short-refi allows the homeowner to keep their home and mortgage in their possession.  The process to complete a short-refi usually takes 6-8 weeks.  However, it can take longer, depending on the Lender and how willing they are to cooperate.

For more information and help with a short-refi, please fill out an Info Request Form.