Market Conditions

The real estate marketplace has undergone dramatic changes in recent months. More and more buyers are finding themselves in homes they can no longer afford and or which are now worth less than what is owed. In many cases this was made worse by mortgage rate adjustments which lead to payment increases. As a result, borrowers are unable to pay their mortgages and default rates have skyrocketed.

Even borrowers who are capable of paying their mortgage are under a great deal of pressure. They do not want to continue paying a mortgage on a property worth less than what they owe.

Risks
Not being proactive under these circumstances is quite risky given the severe consequences following mortgage default, especially given the long lasting impact from the information which remains on the credit report for years.
Lack of knowledge regarding available solutions shouldn’t be a restraint in motivating property owners to actively seek a solution.

Why Should I Choose a Short Sale?
Short Sales are usually undertaken because the homeowner is out of options and does not want to experience the tragedy caused by home foreclosure.

Typically when someone is at the point of not being able to afford their home due to; high rates, dips in property values, divorce, loss of employment, decrease of income, etc., then we are forced to make a life altering decision.

If you experience foreclosure it will ruin your credit for seven years. That means you will have extreme difficulty finding any bank to lend you money. Which means it will be difficult for you to buy another house, a car, open a new business, or even qualify for credit cards. On top of that, the loans you do receive will have incredibly high interest rates as you will be considered a credit risk by credit card companies and banks.

With a Short Sale you have the ability to save your credit from reflecting a ‘foreclosure’ as to simply having a ‘settled debt’.