Can A Short Sale Stop A Foreclosure

in STOP FORECLOSURE FRAUD

To prevent foreclosure, many homeowners pursue loss mitigation options such as a short sale to stop foreclosure. It could be that your lender suggested it, or you can contact them about it. There are so many benefits that accompany short sale and make it better than a foreclosure. However, it's only ideal for homeowners willing to let go of their home to stop foreclosure. What then is a short sale?

A short sale is a process of selling your home for a value less than the mortgage you own, for example, selling your home for $150,000 when you have a mortgage debt of $175,000. It could be that the value of your home has reduced, or you sold it for less to get stop foreclosure. Whatever the reason might be, a short sale has several benefits. It's far better than foreclosure for the following reasons:

  • Keeps your credit score in good shape

A foreclosure will definitely damage your credit score and make it difficult to secure another mortgage for years to come. A short sale will keep your credit score intact, and you can quickly secure another mortgage after you sell your home.

  • Save you the stress associated with a foreclosure.

You will be saved a lot of stress by opting in for a short sale. Mostly if your state uses a judicial foreclosure process, having a short sale will help you save all that stress.

  • Help you negotiate loss mitigation.

Loss mitigation is a process you should go through yourself without a lawyer. Loss mitigation involves the process of negotiating alternatives with your lender to stop foreclosure. You can easily be cheated during a loss mitigation negotiation. The presence of a lawyer will prevent that from happening. Your lawyer will also make sure you go home with the best offer and make the payment easier for you.

  • Help you reply the court summon

Suppose your state uses a judicial foreclosure process, you will receive a court summon before a final judgment of foreclosure is passed. Your reply will determine whether the foreclosure should be initiated, or you want to fight the case. You will need the service of a foreclosure lawyer to reply to the summon effectively.

Many other benefits can be gotten from having a lawyer help you stop foreclosure. Contact your lawyer today, and you won't regret it.