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FORECLOSURE IS NOT YOUR ONLY OPTION!

It is understandable that most Americans are struggling to make mortgage payments in today’s economy? With millions facing foreclosure today, you yourself may be increasing your odds of such a situation as others you may know.

The first thing to understand is that you are not alone, and there are dignified solutions to avoid foreclosure. A short sale is one alternative becoming more and more common. Many homeowners pursue this route because their financial effects of short sales are much less damaging.

From loan eligibility to credit status, in most cases the results of a short sale will leave you in a better financial position than a foreclosure. Your first step in solving your financial woes is to contact our short sale specialists at Optima One Realty. We know the exact differences between a short sale versus foreclosure, and the best options for you.

This isn't the easiest situation to deal with. However, confronting an unaffordable mortgage head-on with the right information can help you regain financial stability. As CDPE-designated agents, we have extensive training in pursuing foreclosure alternatives. We can help homeowners figure out their best possible options.

What is a Short Sale?

A short sale is a sale of real estate in which the proceeds from selling the property will fall short of the balance of debts secured by liens against the property and the property owner cannot afford to repay the liens full amounts, whereby the lien holders agree to release their lien on the real estate and accept less than the amount owed on the debt. Any unpaid balance owed to the creditors is known as a deficiency. Short sale agreements do not necessarily release borrowers from their obligations to repay any deficiencies of the loans, unless specifically agreed to between the parties.

A short sale is often used as an alternative to forclosure because it mitigates additional fees and costs to both the creditor and borrower. A short sale will often result in a negative credit report against the property owner, however it is less damaging than a foreclosure report.
To talk to one of our short sale specialists Contact Us Today!

The Short Sale Process

Often creditors require the borrower to prove they have an economic or financial hardship preventing them from being able to pay the deficiency.

Creditors holding liens against real estate can include Primary Mortgages, Junior lien-holders - such as second mortgages, Home Equity Lines of Credit HELOC lenders, Home Owners Association HOA (special assessment liens) - all who will need to approve individual applications for a short sale, should they be asked to take less than what is owed.

Most large creditors have special loss mitigation departments that evaluate borrowers' applications for short sale approval. Often creditors use pre-determined criteria for approving the borrowers and the terms of the sale of the properties. Part of this process typically includes the creditor(s) determining the current market value of the real estate by obtaining an independent evaluation of the property from an appraisal, a Broker Price Opinion (abbreviated BPO), or a Broker Opinion of Value (abbreviated BOV).

Depending on each Creditor's policy and the type of loan, creditors may accept applications from borrowers even if the borrower is not in default with their payments. Due to the overwhelming number of defaulting borrowers due to mortgage failures and other causes as part of the financial crisis of 20072011, many creditors have become adept to process such short sales applications, however it can still take several months for the process from start to finish, often requiring multiple levels of approval.

Source: http://en.wikipedia.org/wiki/Short_sale_(real_estate)

To talk to one of our short sale specialists Contact Us Today!

OPTIMA ONE REALTY STRONGLY ADVISES YOU TO SEEK THE APPROPRIATE PROFESSIONAL LEGAL ADVISE, TAX ADVISE AND INVESTIGATE THE CONSEQUENCES OF EITHER A FORECLOSURE OR SHORT