Tag Archives: short sale

If you are a homeowner in distress…act now!

Over the past several months I have been posting flyer’s and ads regarding the short sale process. I am constantly approached by homeowners who are interested to ask about short sale. Many people I talk to still have no real idea of what a short sale is and more importantly, how it would affect them personally. The process itself can sometimes be as unique as the client(s) involved but due to endless interaction from the CDPE management and its members with the major lending institutions, it has for the most part become much more streamlined. Bad situations do occur to good people and if you happen to find yourself in troubled waters financially, the sooner the situation is addressed, the easier it will be to come to a resolution.
Being in financial difficulty is a really tough place to be. It is up there on the list of life milestones and stressors. If you are underwater on your mortgage and the stress is building, you need a plan of action and a guide to get you through the weeds. I can be your guide. I am not your judge; I am not here to discuss how you got where you are.  Chances are that you already know that. My role is to walk you through the process and bring you out the other side so as you can begin to get your life back on track, working your way to financial stability and well-being. If you are reading this today, chances are, you are already in trouble. Give me a call. I can walk the talk and I will be proud to be your guide!

My big girl job

Short Sale vs. Foreclosure?
You make the call!
I get the question from people all the time: short sale or foreclosure, which is the better option? My knee-jerk reaction is always “Are you kidding? Short sale, of course!” This has been mostly because I was always under the impression that a short sale, although still a ding on your credit, was gentler on the score than a foreclosure.
But according to a recent blog post by FICO Banking Analytics, there is no real difference in the affect a short sale or a foreclosure has on your credit score. Both the impact in points and the time to fully recover is about the same for both events.
This put me in a precarious situation. All this time I had lauded the short sale as vastly superior to foreclosure, largely because of its less adverse affects on credit. So I was forced to do further research into which was the better option. In doing so I learned about benefits of a short sale I wasn’t even aware of, and found that the FICO blog was way off.
Each borrower’s credit situation is different, and the way that a creditor reports a short sale to bureaus is different. The reality is that hundreds of thousands of distressed homeowners who have chosen a short sale have experienced a lesser impact on their credit than those who have chosen foreclosure.
In a short sale, a distressed homeowner may be able to obtain another mortgage sooner than someone who has a foreclosure on his or her record. Also, more and more employers pull credit before hiring a potential employee, and a foreclosure can keep you from getting a job.  Some employers pull credit reports on existing employees, and a foreclosure may not bode well in certain industries.