We are all well aware of status of the economy, the ups and downs that have come with these past 7 years, and how it has affected the real estate industry to date. We have witnessed an insurmountable number of foreclosures, unpaid mortgages, and destroyed credit scores. Many people have suffered immensely, have become financially unstable, and have been forced out of their beloved homes. But instead of succumbing to the debilitating world of foreclosing your home, there is another option out there; short sales.
A short sale is when a homeowner cannot, for whatever reason, pay their mortgage in full. They then agree to sell their home for less than their mortgage or for less than their home was originally priced at. Provided the short sale is successful, the proceeds can then be used to pay off the mortgage. This alternative allows for a quicker recovery period for their credit score, the bank will cover all necessary fees, it doesn't require any legal action such as filing for bankruptcy or a foreclosure proceeding, and the homeowner does not walk away from it in further debt with the bank.
