Short Sale?

What is it: from Wikipedia

A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property's loan.^[1] It often occurs when a borrower cannot pay the mortgage loan on their property, but the lender decides that selling the property at a moderate loss is better than pressing the borrower. Both parties consent to the short sale process, because it allows them to avoid foreclosure, which involves hefty fees for the bank and poorer credit report outcomes for the borrowers. This agreement, however, does not necessarily release the borrower from the obligation to pay the remaining balance of the loan, known as the deficiency

Who can try to do one?

Any Borrower (Seller) who can get his or her Lender to approve one. The possibility of this happening is dependednt on a number of factors. A general overview of those factors can be emailed to you, upon request.

Are there ramifications? Possibly Yes.  Such as Income Taxes , Deficiency Judgments and Injured Credit Score.

Options a Borrower May Have?  You actually have 8 Options.

1. Do Nothing

2. Pay Arrears/Redemption

3. Foreclosure

4. Deed in Lieu

5. Refinance

6. Loan Modification/Foreberance Plan

7. Bankruptcy

8.  Sell with a Realtor, Short Sale

If you would like to discuss your possible options , I do private consultations to help guide you.

Sincerely, Kathleen Diringer

Local Owner, Businesswoman, and Realtor.