The "buzz" word in today's market has to be "Short Sale". You will see the term everywhere these days. Do you know what all the "buzz" is about? In layman's terms, a Short Sale is when a homeowner sells their home for less than what is owed to their lender. Of course these types of transactions require approval by the homeowners lender. Not all homeowners can decide to sell their home short. For example, if you have negative equity due to the declining market, this is not a reason banks will approve a short sale. There must be financial hardship in order for approval to be made (among other factors).
The positive with short sales is the limited effect on the homeowners credit score. If the homeowner is current on all other bills and completes a short sale on their home, their credit score may only be effected 50 points or so compared to 200+ with a foreclosure. Bottom line: The bank does not want to own your home so in most cases that there is financial hardship a short sale will be what is best for all parties. Consultation with your tax attorney, attorney, and/or accountant is always recommended before jumping into a short sale listing. If you or someone you know is heading towards foreclosure please pass along this link and our contact info. For more information about short sales, loan modification options, etc. please click the contact button on the upper right hand corner of the page. Realty World Heritage Realty is proud to have the only Realtor in Haywood County who is certified as a Home Retention Consultant and a Certified Short Sale & Foreclosure Expert. We are here to assist so please contact us today.