Home > Blogs > Jhobanna Castillo > Jhobanna's Blog

SHORT SALE VS. FORECLOSURE

By Jhobanna Castillo

Real Estate Agent with Coldwell Banker Residential, LLC

March 31, 2011 03:27 AM

Links

BUY NOW
My Site

Photo Gallery

Description

Trying to avoid foreclosure and your loan modification was denied or doesn't meet your expectations?

A short sale is when a bank or lender agrees to discount a loan balance due to an economic hardship on the part of the borrower.

The home owner sells the mortgaged property for less than the outstanding balance of their loan, and then turns over the proceeds of the sale to the lender in full satisfaction of the debt. In most instances, the lender has the right to approve or disapprove of a proposed sale.

Many factors determine whether or not a bank will allow a short sale.
These factors are most often related to the current real estate market climate and the individual borrower's financial situation short sale typically is executed to prevent a home foreclosure.

For a bank, a short sale will result in a smaller financial loss and is usually a quicker transaction than foreclosing on a borrower. For the home owner, a key advantage is avoiding having a foreclosure listed in their credit history. In short, a short sale is nothing more than negotiating with a lender to allow a borrower to pay off a debt for less than what they owe.

A short Sale is the best alternative if you cannot obtain a Loan Modification from your Lender.

Behind on Mortgage Payments? Loan Modification Denied? Help is available! Call me today at 786-201-9979 or send an email to jhobanna.castillo@floridamoves.com for more details!

Hablo Espanol!!

IMPORTANT NOTICE:
Coldwell Banker Residential Real Estate and Jhobanna Castillo are not associated with the government, and our services are not approved by the government or your lender. Even if you accept this offer and use our service, your lender may not agree to change your loan. If you stop paying your mortgage, you could lose your home and damage your credit.

Profile