No individual could ever imagine that one day they’ll be facing the possibility of foreclosure. But due to the economic turndown combined with a crash in the real estate market, these factors have resulted in a number of homeowners to lose their homes unfortunately.
Luckily, one solution that can very solve this ordeal is by means of a short sale. A short sale is a process where a delinquent homeowner will sell his house to an investor in the hope that they will recover what the homeowner owes after the house is sold.
So if you’re interested in taking this route, then we suggest that you keep reading as we are going to tackle this topic on why you should opt for short sale now and avoid foreclosure.
Why Real Estate Agents Encourage Homeowners To Choose Short Sale?
Most likely, you have heard the term “short sales can protect credit”. Well, this is partially true. Your credit will be affected you fall behind on the payment. However, one exception to this is that when you don’t have late payments (at least 60 days late), the bank might still allow you to take a loan to purchase another home. But the thing is, most homeowners who opt for short sale are usually past 60 days, so this said exception will not apply.
And here are some of the reasons why real estate agents recommend homeowners to choose short sale:
- The agents are paid from the earnings of the short sale.
- Agents won’t be paid if the seller loses his/her property and was not able to avoid foreclosure.
- Even if the property is not sold through a short sale, the real estate agent gets a free publicity by posting online listing, making signage, and facilitating open houses.
Of course, you are making the agent happy because they were able to get new listings, but how about you? What are the benefits that you will get from a short sale? Here are some of them:
- You retain some dignity knowing that you were able to sell your house.
- You won’t suffer the stigma that is often connected to foreclosure.
- You won’t have to deal with mortgage payments, unless you elect to make them.
- You’ll be able to meet the new owners of the house you just sold.
- Lastly, your credit record will not show late payments of more than 60 days. And as a result, you are eligible to purchase a new house immediately.
Conclusion
If you still have questions on how short sale works, then the best thing to do is to contact the nearest investment company in your area and avoid foreclosure NOW. They can assist further in this matter and work on the best situation to rectify your foreclosure situation.
If you need to sell your house fast in Toledo, Ohio, you can check out River Raisin Investments’ website.
