Understanding the Foreclosure Short Sales
Homeowners are faced with choosing between three options to satisfy a debt of payments in default.
Foreclosure, bankruptcy, or foreclosure short sale is the choice.
Understanding the choices and their consequences will help you make the right decision.
A foreclosure will stay on your credit record for seven years.
A bankruptcy will stay for ten years.
A short sale will be reported to your credit as a satisfied or unsatisfied judgment.
The best choice to keep your credit ratings is to choose the short-sale.
A foreclosure short sale is an option for the property owner that owes more on the property than it is valued at.
When a lender notifies an owner of an eviction they still have the chance to take a short sale.
While the property is still occupied it can still be sold.
A foreclosure and bankruptcy stamped on your credit will damage it.
The difference is when the bankruptcy isn't filed on property.
A foreclosure on your property will be worse when lenders look at your history.
A foreclosure is the result of back payments.
A property owner should consult with their lender and search for an alternative.
There is "forbearance", working out a new payment with lower interest, and working with your lender to decide which is best for both parties.
A foreclosure short-sale is another alternative to foreclosure that will work even if you are not behind on payments.
When your property is worth $100, 000 and you owe $160, 000 the $60, 000 is your deficient.
A short sale will allow you to write off the $60, 000 and sell for $100, 000 which will give the lender a payoff.
The deficient balance can be taken care and is up to you and the lender.
A property that has two mortgages will each have to be signed into the agreement.
The negotiations will have to include both in order to be on the same short sale.
Some have been left with the 2nd mortgage much to their surprise.
Learn all you can and you will get the best deal.
A short sale is a matter of negotiating the sales price.
Taking on the short-sale by yourself means finding the right people with the credentials to give a discount.
The department of "Loss Mitigation" is the office you want to be in or talking with.
The steps are a bit complicated but you can use a mitigation company experienced in handling a short sale and avoid making mistakes.
We have established the facts foreclosure, bankruptcy, and short sale all have on your credit report.
Two more important factors to remember are.
Get in writing, before you sign with a service company, what will be reported to your credit from a short sale.
The way the reports read can be interpreted in negative ways by new lenders.
The 2nd factor is; when a trust fund is part of the foreclosure, get in writing that you are the only one in charge of the trust.
Some will take advantage of the "trust" and put it in their control.
The more you know the better your future will be.
Foreclosure, bankruptcy, or foreclosure short sale is the choice.
Understanding the choices and their consequences will help you make the right decision.
A foreclosure will stay on your credit record for seven years.
A bankruptcy will stay for ten years.
A short sale will be reported to your credit as a satisfied or unsatisfied judgment.
The best choice to keep your credit ratings is to choose the short-sale.
A foreclosure short sale is an option for the property owner that owes more on the property than it is valued at.
When a lender notifies an owner of an eviction they still have the chance to take a short sale.
While the property is still occupied it can still be sold.
A foreclosure and bankruptcy stamped on your credit will damage it.
The difference is when the bankruptcy isn't filed on property.
A foreclosure on your property will be worse when lenders look at your history.
A foreclosure is the result of back payments.
A property owner should consult with their lender and search for an alternative.
There is "forbearance", working out a new payment with lower interest, and working with your lender to decide which is best for both parties.
A foreclosure short-sale is another alternative to foreclosure that will work even if you are not behind on payments.
When your property is worth $100, 000 and you owe $160, 000 the $60, 000 is your deficient.
A short sale will allow you to write off the $60, 000 and sell for $100, 000 which will give the lender a payoff.
The deficient balance can be taken care and is up to you and the lender.
A property that has two mortgages will each have to be signed into the agreement.
The negotiations will have to include both in order to be on the same short sale.
Some have been left with the 2nd mortgage much to their surprise.
Learn all you can and you will get the best deal.
A short sale is a matter of negotiating the sales price.
Taking on the short-sale by yourself means finding the right people with the credentials to give a discount.
The department of "Loss Mitigation" is the office you want to be in or talking with.
The steps are a bit complicated but you can use a mitigation company experienced in handling a short sale and avoid making mistakes.
We have established the facts foreclosure, bankruptcy, and short sale all have on your credit report.
Two more important factors to remember are.
Get in writing, before you sign with a service company, what will be reported to your credit from a short sale.
The way the reports read can be interpreted in negative ways by new lenders.
The 2nd factor is; when a trust fund is part of the foreclosure, get in writing that you are the only one in charge of the trust.
Some will take advantage of the "trust" and put it in their control.
The more you know the better your future will be.
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