Buying a Short Sale Home
What is the process?
What is A Short Sale?
Foreclosure and delinquency rates are occurring in high numbers due to teaser-rate mortgages adjusting upwards after the housing boom.
Why Choose A Short Sale?
Short sales are a much better option to foreclosure and will do less harm to the borrower’s credit. A foreclosure will drop credit rating by a whooping 200 to 300 points and remain on the credit report for about 7 to 10 years.
What Qualifies You For A Short Sale?
Most lenders consider performing a short sale is there has been a change in circumstance after the loan was originally obtained to prevent a borrower from making payments.
Alternatives To A Short Sale
Re-Amortization – Your lender may add missed payments to your balance and recalculate a monthly payment.
On December 20, 2007 the Mortgage forgiveness Debt Relief Act was signed into law. From January 1, 2007 through December 31, 2009, any forgiven or “canceled’ primary mortgage debt from a principal residence will not be taxable, including debt used to improve the residence.
Getting A Short Sale Safely
Here are some simple factors to keep in mind when trying to negotiate your short sale deals to save yourself time and money.
Short Sales in Minnesota
There are a lot of misleading information on how short sales work and the seller’s role in the process.