Wednesday, June 13, 2007

Benefits of a short sale

Some of the benefits of a short sale. This is not an exclusive list and some of these benefits have to be negotiated.

You may be able to negotiate:

1. Occupying the home until the new owner closes.
2. Not paying on the mortgage until the new owner closes.
3. I hear many "consultants saying foreclosure is worse than a short sale for your credit. Even if that is true now, that may be changing.
4. Avoiding a deficiency action.
5. You may be able to minimize the deficiency which may have a large impact on your IRS bill for loan forgiveness.
6. With the help of an attorney you may even be able to minimize or eliminate loan forgiveness.
7. A short sale or short payoff may help you avoid bankruptcy.

Short sale information for people in California and Florida.

1 comment:

Anonymous said...

So even if the credit bureaus consider short sales as bad as foreclosures, I guess there is still a benefit to some people to doing a short sale?