Friday, March 12, 2010

Foreclosure Short Sale is A Way Out

Ten percent of all home owners in Phoenix, Arizona are currently facing foreclosure in the United Sates. Within the other ninety percent there exists a large group that will soon find themselves in the sale predicament. With unemployment on the rise and businesses failing on every street corner, many people can not afford to pay their mortgage payments on a monthly basis. The number of people missing mortgage payments on a monthly basis is astounding. So, how do you go about saving your home from impending foreclosure? There are some clever ways to go about doing this.

Here are a few ways to consider…· Do not wait for the lender to send you a foreclosure letter or even a notice of default. Communicate to your lender with a hardship letter as soon as you see that you won’t be able to make payments.

· Timing is critical in the process to save your house from foreclosure in Phoenix, AZ. A delay in your decision making process can cost you time, money, and most importantly, your home.

Here are some options available to you…

· Contact the HUD to visit with a counselors. They can help you sort out your finances. Also, they have a better means of proving your hardship case to your lender. The service is also free to use.

- Loan modification—get the bank to change the terms on your loan

- Loan mitigation – negotiate with the bank on paying overdue payments

- Refinance – totally redo your mortgage loan (lots of fees with this and tough to do if you missed payments already)

- - Getting a personal loan to pay the mortgage amount – this just gets you deeper in debt

AND FINALLY, THE REAL SOLUTION….FORECLOSURE SHORT SALE

A foreclosure short sale is the best option to consider. The foreclosure short sale is the only option that will help you rid yourself of a burdening mortgage and may get some money into your pocket too (if you are lucky). The foreclosure short sale is not an option that banks will agree to without hassle. With a foreclosure short sale it can be tough to find a buyer quickly. Also, the offer amount that you generally get from a foreclosure short sale is a great benefit to the borrower (like a discount on your mortgage). The foreclosure short sale process appears to be a bad choice for your lender, but when you find a real estate expert that is experienced in the foreclosure short sale, he can explain why it is not a bad deal for you or for them. You should consider a foreclosure short sale if you are in the following situations among others…

- You don’t mind moving out of the home to live someplace else.

- You can’t afford the home in the future and it will be a long time before its value is as much as the mortgage loan is now.

- You want to avoid foreclosure and do as little damage to your credit as possible.

Do you have questions? Read the Short sale FAQs.

Are you a Realtor? Then get free short sale training by Kevin and Fred at Free Realtor Training on ShortSalePower.com

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