Back To Foreclosure Defense Video Help Page
Back To Foreclosure Defense Video Help Page
The above video explains the basics of a Florida short sale and why this process can sometimes be helpful to people facing home foreclosure. But that does not mean it is always the right decision. Here are several reasons that you might want to think twice about short selling your home.
You can still owe the lender. This is mentioned in the video, but it is important enough to repeat and explain a bit more. Just because the bank approves a short sale, it does not guarantee that you will be released from liability. An experienced foreclosure defense attorney will tell you to stay away from a short sale if you cannot obtain waiver of deficiency or release from liability from the bank prior to completing a short sale.
The waiver or release should be obtained before completing the short sale because while you have the property, you have leverage. Once you give up ownership of the property, your leverage is gone forever – you are at the mercy of the bank.
Speak with an experienced Florida attorney at our firm today.
Call 855-Kramer-Now (855-572-6376).
A short sale will still hurt your credit. Most people know that having their house foreclosed on can be a credit nightmare. A typical foreclosure will stay on your credit report for up to seven years and may damage your score by several hundred points, depending on your past credit history and how you handle other current debts.
Fewer people are aware that a short sale – and even a deed-in-lieu – will also have negative consequences to a person’s credit rating. This does not mean that you should not pursue these channels, but you should not make the decision to short sell your home without being completely informed and understanding what you are getting into.
Unlike a foreclosure, there is no “soft landing” with a short sale. How does a foreclosure give you a soft landing? In the state of Florida, foreclosure takes a long time. The processing period alone is 135 days and many people end up living in their homes for years while they are being foreclosed upon. Moreover, you will not make payments on your house during the foreclosure process. This gives you time to save up money and prepare for your future.
While a short sale may take months instead of years, it requires a great deal of work to negotiate with lenders and real estate agents and to keep the house clean and always ready to show to prospective buyers. And whether the transaction takes months or years, you will continue to make payments until it is done. You may even owe taxes on forgiven debt once the house is sold.
Before you consider short selling your home, you should at least examine all of your options and the possible consequences of a short sale. There is no substitute for speaking with an experienced Orlando foreclosure attorney to fully understand the potential risks and benefits of short selling as it relates to your situation.
Get Help with Legal Issues Now! – Call 855-Kramer-Now (855-572-6376)
Back To Video Help Page