*This is part 2 of a 6 part series. Click here to read Part 1.
Well if you're a Seller who is having difficulty making your mortgage payments, it is better to be proactive rather than scrambling to react to an ever increasing level of stress and challenging circumstances. This is because you have more options available to you by accepting the responsibility of reigning in a financial situation which is charging out of control.
As the increase of Foreclosures runs rampant throughout the country, some banks are even being proactive in approaching customers who are showing indications of difficulty with making timely payments. There are several common elements which are often factors when a distress sale is called for. This is a summary of what we often observe:
- There has been a Job Loss or diminished compensation Level for the same work.
- There has been a life altering circumstance such as a death or divorce.
- Accumulating debt and over-extension of credit has made it impossible to keep up with the payments.
- An adjustable rate mortgage has kicked in to adjust to a level where the borrower can no longer afford the payments.
The truth is that for as many people who have to sell their homes as a Short Sale or have their home advertised as a Foreclosure via a Sherrif's Sale, there are many, many more who are suffering in silent anguish...hoping that they will be able to make their payments next month and juggle the ever complex array of financial obligations and debt in which they find themselves entangled. Suffering in Silence and avoiding the issues that need to be addressed will not magically make the situation disappear.
One of the most daunting aspects about being in this position is trying to figure out who to talk to. This process drains resources on a number of levels. It is not simply a financial crisis...it is often a crisis in a marriage and an emotional roller coaster which feels like a spiritual assault. This is not something that most people feel comfortable discussing with family or friends. But it is a time in which there is an urgent need for comprehensive counsel. At Audu Real Estate, we provide comprehensive counsel and can assist with exploring all the alternative available to you. We work with mortgage professionals who can evaluate your current situation to determine if there are other options that might be workable for you.
In the next series of posts I will be addressing address 3 different sets of scenarios which present themselves when clients are interested in exploring the process of a Short Sale. These are:
A. An Over-Extended Homeowner...Still Making payments...but barely
B. Homeowner Unable to Make Timely Payments on a regular basis
C. Homeowner Who are in Pre-Foreclosure or Starting the Redemption Process
For each of these situations, a Short Sale has different implications. It is important to have professional respresentation to ensure you understand the implications of the process in your particular situation.
Click this Link to Continue reading more of the series
Photo courtesy of Dan Mugford on flickr.
Copyright 2007 Audu Real Estate All Rights Reserved.
Comments(6)