A short sale happens when Baltimore MD Condos, for instance, are sold for less that what the home owner actually owes on his mortgage. Moreover, it is the FHA equivalent of a pre-foreclosure sale in which the FHA agrees to share some or all of the loss with the seller.
Homeowners normally opt for a short sale but what they don’t know is that a short sale can damage their credit as much as a foreclosure does.
Fact #1: Your debt is forgiven and you can transfer the loan to another lender if you short sale your homes.
Fact #2: Your FICO score will go down which is the same score if you allow foreclosure.
Fact #3: After a short sale, the homeowner will have to wait two years or more to buy a new home.
Fact #4: You will not gain anything from the sale of your home if you short sale your home.
Fact #5: If you short sale your home you will take a huge hit on your credit.
Fact #6: You have to pay taxes for the balance that was forgiven by a bank or your lender if you short sale your home.
Fact #7: If you short sale your home, your credit will be damaged for 2-7 years.
Whether you are going to short sale your Stafford VA Home or wait for a foreclosure, it’s your choice. To help you in makng teh right decision, consult your real estate agent. While you can still wait for things to get better, you can still do something about your short sale. Who knows, you have others options to modify your mortgage while waiting for everything to get back normally.
You will have to wait for at least two years to recover although you have an option to negotiate the terms with your lender or bank. Your real estate agent can help you in this case. They will not tell you what to do nor make the decision for you. Your agent will guide you in making the right decisions as well as giving you options for your property. In this case, disclose your true financial situation to your agent so that he can dig into his knowledge regarding the available options for you after a short sale which will enable you to still find another much affordable Crosby TX homes.
No related posts.
