Wednesday, April 04, 2007

Short Sales

Michigan is now 5th in the country with numbers of foreclosures. This is partly due to our struggling auto industry, partly due to too much easy borrowing and re-finances, and partly due to our economy in general and a high 7.2% unemployment rate.

Banks are never happy about getting more real estate on their books. Thus it is now more possible than ever to effect a short sale rather than go through a foreclosure. So if you or a family member are "upside-down" with your mortgage, that is, owing more on your home than it is worth in today's market, and you have to sell, call me at 800-923-3245 or email me at Perhaps I can help you with your situation.

A short sale means listing and selling your home for less than the mortgage owed on it and having a negotiated agreement with your lender to take this lesser amount. As a result of doing this, you the Seller end up with a minor "blip" on your credit record. If you had to go through with a foreclosure, that stays on your credit record for TWELVE years. And during that time if you try to get a new mortgage on another home, you will pay above average interest rates.