Dec
9
Foreclosure versus Short Sale!
Posted by Sandra Jeter under For Sellers, General Information
In today’s Economy nothing seems for certain - and for a Homeowner to become distressed can happen. If you are one such owner let me say to you ” I understand” “this is nothing to be ashamed of” “things happen and can happen very quickly”. “BUT now is not the time to stick your head in the sand, give up and let the home get foreclosed on”. I know what you are thinking - What difference does it make at this point anyway…… Well a very very big DIFFFERENCE.
You always have the option of a Short Sale! Meaning selling a property short of what is owed on it. Short sales require plenty of paperwork, negotiations and patience. They are by no means easy - Not for the homeowner or the Realtor but they are an option to avoid Foreclosure. Again you are probably thinking - What difference does it make ……
A Foreclosure can affect your credit score anywhere from 250 to over 300 points and typically will affect the score for over 3 years. A Sucessful short sale will show only the late payments and can be as brief as as 12 to 18 months.
A Foreclosure will remain on your credit history for 10 years but a short sale is not reported on a credit history. There is no reporting for a short sale.
……… You get my point? A Foreclossure will affect your future with a much greater impact as a short sale will. So again, ”Now is not the time to stick your head in the sand, give up and let the home get foreclosed on”. You have options and can be proactive.
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