Frequently Asked Questions

A short sale occurs when a lender or mortgage company approves a sale of property by accepting less than what is owed by the homeowner/mortgage holder. So, if the homeowner holds a mortgage for $400,000, for example, the lender might approve a sale for $350,000 in some cases. Obviously, the lender takes a big loss and absorbs the financial hit with a short sale.

Homeowners facing foreclosure and are behind on mortgage payments can qualify for a short sale as long as they are not filing for bankruptcy and the debt owed is worth more than the property.

Short sales ensure you avoid foreclosure and any additional impact to your credit report while eliminating your future monthly mortgage payments. This can be the fastest way to recover from a tough financial situation. It also eliminates the risk of deficiency judgements.