A short sale happens when Baltimore Townhomes, 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 chose short sale over foreclosure thinking it won’t hurt their credit badly but the opposite is true.
Fact #1: Your debt is forgiven and you can transfer the loan to another lender if you short sale your homes.
Fact #2: If you short sale your home, your FICO score will go down by the same score as a foreclosure.
Fact #3: If you short sale your home, it will take at least two years for you to buy another home.
Fact #4: Actually, you are not going to reap any gains after a short sale.
Fact #5: You credit will be hurt if you short sale your home.
Fact #6: If you short sale your home, you may need to pay taxes for the balance that was forgiven by a bank.
Fact #7: Your credit rating will suffer for 2-7 years if you short sale your home.
Whether you are going to short sale your Stafford home or wait for a foreclosure, it’s your choice. To help you in makng teh right decision, consult your real estate agent. Youhave to know that you have other options to modify your mortgage while waiting for things to get better. And while waiting, do somethings about your current short sale situation.
You can always discuss appropriate terms with your lender or bank, however, you might have to wait 2-7 years for you to get back again. Your agent can help you in this case. Agents will advise and guide you in your decision-making, but they are not going to force you in to something. Your agent will lead you in making the right and possible options available in the market. 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 Real Estate in Crosby.
