Short Sales – Cutting Through the Myths
There are many myths and rumors, as well as much valuable information available about one of the hottest topics in real estate – Short Sales. It is the intention of this article to cut through the myths and rumors and provide the homeowner with the information they need to understand a Short Sale and the process.
I have written this article with the specific goal of answering important questions about Short Sales while helping the homeowner avoid common and potentially costly pitfalls. It is comprised of excerpts from my comprehensive report “Insider Short Sale Secrets”.
If you are currently behind on your mortgage payments, primers for sale if you are borrowing from Peter to pay Paul, if the stress of keeping your home afloat is killing you, then please read this information immediately. Whether you hire someone, or try to do it yourself, take action now! Time is not your friend, but there is light at the end of the tunnel!
The information in this work is believed reliable but is not warranted or guaranteed, and before any reliance or use, should be independently verified. Suggestions, advice, strategies and all other like information are general in nature, are not based on knowledge of your specific circumstances, dried sea cucumber for sale and should be used only after your own independent verification of reliability, application of independent business judgment and due consultation with your tax, technical, legal, real estate, investment, accounting and/or other professional advisors.
What is a Short Sale?
Everybody’s talking about Short Sales as a way to prevent foreclosure, but not everybody understands exactly what a Short Sale is. You’ve may have heard about them, and may be looking for a definition. Simply put, a real estate Short Sale is when a homeowner sells their property for less than is owed on the existing mortgage balance. To accomplish this, the homeowner or a third party negotiates a discount on the payoff amount due to the bank or mortgage company.
When a homeowner owes more on their mortgage balance than the current value of the property they have negative equity, commonly referred to as being “underwater” or “upside down.” In order to sell a property that is “upside down”, the bank must agree to accept less than what is currently owed. Mortgage companies take big losses when they foreclose on a home and will many times try hard to avoid it. A Short Sale is a viable alternative to taking the house back in foreclosure. The lender agrees that selling the property at a moderate loss is better than pressing the current debtor. Both parties consent to the Short Sale process, because it allows them to avoid foreclosure, adderall for sale which involves hefty fees for the bank and poorer credit report outcomes for the borrower.
Is a Sort Sale a questionable practice?
The Short Sale of real estate is not a questionable practice in today’s softening real estate market it may in fact be a necessity. The Short Sale transaction is a legal and a much more beneficial alternative to foreclosure or even bankruptcy and is often the most economical solution to a problem. The short sale of your home can result in the best solution for all parties involved. A few of the benefits of a Short Sale are: