To keep your home from foreclosure as long as possible, we are a proponent of a fairly unknown foreclosure prevention method to the uninformed public in Chandler, Arizona. This method of foreclosure prevention has been brought to the forefront with the abundance of people seeking foreclosure prevention in an economy that just keeps sinking. With home owners losing their jobs left and right of you and property values shrinking today and shrinking tomorrow, one foreclosure prevention tactic has been very successful for the American people.
Allow us to introduce to you the short sale as a method of foreclosure prevention. While the details are better explained by a real estate expert in Chandler, AZ that is familiar with the short sale process, we will do our best to give you some insight as to the nuances of the short sale as a foreclosure prevention method.
The short sale as a method of foreclosure prevention takes in to account that you can not pay your mortgage any longer or you do not want to pay your mortgage as it is worth far more than the value of your home. Foreclosure prevention with the use of a short sale is open to virtually anyone and can apply to businesses, residencies, rental properties, investment properties and even vacant land. This foreclosure prevention method is called a short sale because you are offering your house on the market even though the offer you receive will, more than likely, be short of covering the payoff of your existing mortgage.
So how do you win with a short sale as a method of foreclosure prevention? Because the banks only want to recoup as much money as they can, the short sale leverages the banks against their bargaining chip, the foreclosure. That is why we consider it foreclosure prevention to use a short sale.
Basically (bear in mind that we are speaking in general terms, all of this should be verified with a real estate expert), you will put your home on the market as a tool of foreclosure prevention. When you receive an offer, which will more than likely be less than the value of the loan, you tell the bank that they should accept the offer in lieu of foreclosure on your home because it is far more than they will get if they have to sell the home at foreclosure. For this fact, the bank will allow this method of foreclosure prevention to minimize their losses. In many instances, they will be willing to forgive the remaining balance of the mortgage that the offer price didn’t cover. The bank wins because they do not incur the fees and legal proceedings that go along with a foreclosure and you get out from your mortgage.
You can wait around for the newest foreclosure prevention act from congress and hope that it will apply to you or use the newest tool in foreclosure prevention, the short sale. Given how Congress handled the last foreclosure prevention act, which would you prefer?
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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