Foreclosures Quick Income and Reasons Why Lenders Flip To Them
A short sale is one of the most common types of financial transactions for people that can no longer pay their mortgage. In times of a down housing market, home values decrease while mortgage payments remain the same. In the midst of the housing crisis several years ago, many people had to start the short sale process because they could no longer afford their home. A short sale is when a person’s home mortgage is more than the value of the home. This means that the homeowner has no equity in the home to fall back on when they cannot make payments. Here are several Washington state short sale programs for homeowners that are in this situation. If you are interested in learning more about a short sale in Washington State contact Washington Short Sale Team and ask to speak with a shot sale specialist (206) 852-7026. short sale Washington state
A short sale is when a homeowner can no longer afford their home and they also have no home equity. A short sale is not the same as a foreclosure, although both transactions will hurt the credit of the homeowner. Banks are more willing to conduct short sales because they will recoup more value in the home. Instead of being on the hook for the whole mortgage, a bank will just have to make up the difference between the market value and what is owed on the home.
Of course, the current market and neighborhood also affect the decision of a lender as to whether or not a short sale is allowed. If there are a lot of homes available in the nearby area, they may decide a short sale is better than ending up with a property that they might sit on for months, or even years, before it sells. You really need to talk to your lender to get the details about your short sale process and figure out what is best for your situation. Your lender also decides what gets reported to your credit, but most accounts are marked as “paid” on a credit report. In the notes, however, there is usually a reference to the fact that it was sold or settled for “less than the amount owed” or something to that effect. Of course, a short sale always looks better than a foreclosure. You also cannot make a profit on short sales. The money made from the sale goes directly to the lender. Washington state short sale
Although it isn’t always the answer, many homeowners do choose the option to short sale my home. This is because it benefits everyone involved in the loan transaction, including the seller and the lender that is currently holding the mortgage. Plus, the lender won’t have the huge expense of foreclosure proceedings and a buyer can get a great deal when they snag a short sale rather than buying a traditional property for sale. For more information on a short sale in Washington state, contact Washington Short Sale Team at (206) 852-7026 and speak with a specialist today.
