If you own a home and find you can’t afford to pay your monthly mortgage, your lender has the legal right to repossess and resell it. This is called “foreclosure.” Foreclosure is a legal course of action in which the mortgage lender attempts to recover the balance of a loan from the borrower by forcing the sale of the asset — in this case, the borrower’s home. The number of foreclosures in the U.S. is skyrocketing: Moody’s, an analysis group, estimates three million homeowners will foreclose in the next three or four years.
Foreclosure can be very stressful. One alternative to foreclosure is a short sale, which can be an excellent solution for homeowners who need to sell or who owe more on their homes than they are worth. In the past, a bank or lender rarely accepted a short sale. Today, however, due to overwhelming market changes, they have become much more negotiable when it comes to these kinds of transactions. Recent changes in corporate policy and the Obama administration have also improved the chances of getting a short sale approved.
If you think you’re in danger of foreclosing on your home, please contact us. We can help!
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