How a Short Sale Can Save You From Foreclosure

For distressed homeowners struggling to make payments on their mortgages, going the short sale route may have many significant advantages over going to a bank foreclosure.

Who Can Benefit from a Short Sale?

A short sale is a good option if you currently owe more on your home than it is worth, can no longer afford the debt, and cannot afford a new payment for a loan modification.  With a short sale, the lender (often the bank) agrees to accept a lower repayment of the mortgage than you actually owe, because the amount you owe is more than the home is worth.

Advantages of Short Sales over Foreclosures

A short sale can benefit you because while your credit score will take a hit, a short sale will not ruin your credit like a foreclosure or bankruptcy would.  Instead of facing eviction, you get to stay in your home longer and you can choose your move-out date.  If you owe money on liens, judgments, or deficiency amounts, these debts can be negotiated during the short sale.

Short sales also benefit the community because homes sold in short sales are generally sold for higher prices than homes sold in foreclosure.  Short sales prevent some of the problems that come with extended vacancy.  In fact, some banks are recognizing the advantages of short sales and are even offering incentives to some homeowners to sell their home in a short sale rather than letting it foreclose.

Finding the Right Realtor

Short sales are complicated and sometimes difficult transactions, so it is extremely important that you choose a qualified Realtor who is experienced at dealing with short sales.  Look for an agent who is SFR-certified (Short Sales and Foreclosure Resource Certification), who is detail-oriented, and who has excellent negotiation skills.  Even a small mistake can end up costing you your home, so find a Realtor that you can trust.

If you are considering a short sale or are being faced with foreclosure, we can help explain your options to you.  We are SFR-certified experts at short sales and will sell your home with no fees and at no cost to you.  We can help you qualify for a short sale, and we will negotiate with lenders and buyers on your behalf.  Contact us for a free consultation.

Thanks for reading!  We’d love to hear your comments and questions below!

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