What is the Difference between a Short Sale vs. Foreclosure?
What does it mean when a homeowner is “Short” on the closing? When a borrower owes an amount on the property that when combined with closing costs and commissions, is higher than the current market value. A Short Sale occurs when: A negotiation is entered with the homeowners mortgage company or companies to accept less the full balance of the loan at closing. A buyer closes on the property and the property is sold “Short”. A Foreclosure occurs when: There is a legal proceeding by the lien holder in which they take back the property in order to recover the amount owed by the homeowner. What are Some Qualifications to Be Able to Do A Short Sale? There are a few factors that lenders are looking for to see if you could qualify for a short sale. Please call us to discuss your personal situation. Even if you feel you may not qualify, don’t give up. It’s worth trying! Financial Hardship When we submit your short sale package to your lender(s) we will include a hardship letter from you. This c
