Short Sale Question: Should I Short Sale Or Declare Bankruptcy?

By
Real Estate Agent with RE/MAX Action
IL – The Stop Foreclosure Institute recently received a question from James. Here is his question. "I am upside down by $300,000 on my home. I want to move, but I am concerned about having that $300,000 debt chasing me for the rest of my life. A friend mentioned I could get it wiped out in bankruptcy. So, here is my question. Should I short sale and then declare bankruptcy. Or just declare bankruptcy and get rid of the house in the bankruptcy? James." Click here to discover how other sellers successfully did a short sale and avoided foreclosure. Here was our answer to James's Question. James, here is something you don't know. In most short sales, the upside down debt will be erased. Yes, the banks will forgive the upside down debt. We recently had a homeowner short sale a house where their bank lost over $400,000. They received a complete release on the debt. The debt was gone and he had no need to declare bankruptcy. Not a bad deal, no? Here is the good news for you. First, many states have laws that forbid banks from pursuing you for a deficiency after a short sale or foreclosure. Second, most lenders do not pursue borrowers. In fact, they will specifically release you from the debt. But, every situation is different. Talk to an experienced short sale realtor in your area to get more specifics. Thinking about a short sale? I can help you short sale your property and get back on your feet. Send me an e-mail at dtoomey@remax.net. I will contact you for a free consultation. When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at (847) 338-0180 Discover how other sellers successfully completed a short sale and request a free consultation by clicking here. Thinking about a loan modification? Our loan modification kit has the instructions you will need to get a loan modification approved with your bank. Click here to request a copy. Thanks for reading this, Dennis Toomey. Dennis is a Real Estate Broker at RE/MAX Action. Short Sales Realtor: Phone: (847) 338-0180. dtoomey@remax.net. For Real Estate that's hassle free, just pick up the phone and leave it TOoMEy! View My homes for sale at www.HouseByZip.com. Dennis Toomey specializes in loan modification assistance and short sales in Elgin Illinois. Elgin Loan Modification Help, Elgin Short Sales. Elgin Short Sale Realtor IL Short Sales. Realtor. Copyright 2011 SFI Marketing Institute, LLC. All Rights Reserved. Important Notice Dennis Toomey, RE/MAX Action, and the Stop Foreclosure Institute are not affiliated in any way, shape, or form with the government. Our services have not been reviewed or endorse by the government or your lender. Most lenders willingly work with agents on short sales. Why? Because most short sales are beneficial to a lender. If you accept our offer to help you on a short sale, your lender may not agree to a short sale or to modify your loan. We do offer a loan modification kit. However, the likelihood of negotiating a modification is like everything else in life. It takes work and persistence to convince your lender to modify your loan. No matter what you or we do, your lender may not approve a loan modification. We do not recommend that you stop paying your mortgage, because this will cause damage to your credit and could cause you to lose your home. Because we know avoiding foreclosure is so important to any homeowner, we recommend that you speak with the appropriate legal or tax advisor before making any decision. This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing. You have the option to reject a short sale or loan modification from your lender if it does not meet your approval. If you decide not to go thru with the short sale, then you do not have to pay us our fee. We normally make a real estate sales commission for helping you on a short sale. The views expressed here are Dennis's personal views and do not reflect the views of RE/MAX Action. This information on Short Sale Question: Should I Short Sale Or Declare Bankruptcy? is provided as a courtesy to our viewers to help them make informed decisions.
close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Location:
Illinois Cook County
Tags:
short sales
dennis toomey
housebyzipcom

Spam prevention
Show All Comments
Rainmaker
700,222
Bill Reddington
Re/max By The Sea - Destin, FL
Destin Florida Real Estate

Every situation is different. Lots of people taking a beating here also. Hopefully this will end sonetime. Happy New Year!

Dec 26, 2011 01:49 PM #1
Rainmaker
3,212,876
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Dennis - Thank you for sharing detailed quality information on should I short sale or declare bankruptcy.

Dec 26, 2011 04:03 PM #2
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
246,784

Dennis Toomey

Buying or Selling Talk TOoMEy!
Ask me a question
*
*
*
*