Rama Mehra
San Ramon Real Estate Specialist
The Benefits of a Short Sale
Getting through the Short Sale process successfully requires effort. Which begs the question, “Is it worth the hassle?” The answer, for many, is “Yes.”
There are three primary benefits of going through the Short Sale process – two are tangible, one is intangible. Unless you are in a state of mind that has you not caring about the future consequences of a foreclosure that cannot be undone, completing a Short Sale to avoid a foreclosure is may be well worth the effort – here’s why:
Minimize Credit Damage
A completed foreclosure is a very damaging event that can be reported on your credit – and credit reporting agencies don’t miss foreclosures. While a Short Sale will usually result in some damage to your credit, you can recover from a Short Sale much more quickly than from a foreclosure. Going forward, creditors may reward those homeowners who cooperated with their lenders to reduce foreclosures.
Reduce or Eliminate Liability for Repayment After Foreclosure
When a property is taken back by a lender through foreclosure, homeowners frequently have liability to repay portions of the deficiency, particularly on junior liens (usually 2nd mortgages). It is not uncommon for the homeowner losing a home to foreclosure to be unaware of their liability until much later – years later – when a collection agency starts calling.
A Short Sale usually allows you to tie up financial loose ends by getting the lender to agree, in writing, that the debt is fully satisfied.
Nobody Wants a Foreclosure
Once you have one, it’s tough to shake. Most homeowners would simply prefer to exit the situation without a foreclosure. The idea of the sheriff locking up the door as the lender takes possession is unpleasant.
With a Short Sale, the home gets sold and possession transfers just like any other sale. And, the homeowner’s mind is clear to move forward and begin building their financial future.
Schedule a Listing appointment- Are you considering to Short Sell your Home?
Fill out the Market Snapshot, which will assist us to get the details of your home. Then we will call you to schedule a time to fill out a hardship package to determine if you qualify for a short sale or not.My belief is to provide you with the guidance for you to make an informed decision.
