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Short Sales, Better Than Foreclosure

There are lots of Naperville pre-foreclosures in Illinois

. The owners of Naperville foreclosures may be upside down on their properties and after falling behind on payments don't know where to reach for assistance. The Foreclosure process can be stopped by selling the house through a transaction known as a Short Sale.

A Short Sale is where the mortgagee agrees to accept a discounted payoff on the loan. Lenders accept these transacdtions because selling the home for less than what is owed is usually less costly than foreclosing on the home. Before allowing the seller to start the transaction, the homeowner should be able to show they cannot afford the property.

A common risk for the seller in this transaction is the deficiency judgement. A deficiency judgement is usually the biggest worry of the homeowner. A deficiency judgement is when a property sells for less than the amount owed and the bank may require the homeowner to pay the difference back to the bank in the future. A deficiency judgement is not a guarantee in a short sale, in fact, many banks will allow the homeowner to walk away free and clear!

The Short Sale is a transaction that is a win-win for everyone; property owners owning the Naperville foreclosures save their credit and the lender no longer has to go through the expensive foreclosure process. Homeowners owning Naperville foreclosures should contact a professional as soon as possible to discuss their options and avoid foreclosure

See if a short sale is right for you

Short Sales, Better Than Foreclosure

By: Phil Guzman
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