If you’re struggling to make your mortgage payments, a short sale can be a viable option to avoid foreclosure and protect your credit score. But how much can you actually save by going this route, and is it worth it? Let’s take a look at a real short sale success story from one of our very own clients.
Case Study: Short Sale Success Story
Our client owed $131,941.95 on their mortgage, and they were facing foreclosure due to financial hardship. They were unable to keep up with their monthly mortgage payments and were at risk of losing their home.
We stepped in to help them negotiate a short sale with their lender. We were able to get the bank to agree to reduce the mortgage balance to $75,683. This means that our client had $56,258.95 forgiven, just like that!
The short sale allowed our client to sell their home and get out of their mortgage. This allowed them to avoid foreclosure and protect their credit score. They were able to move on with their lives and start fresh. Additionally, they also avoided the burden of foreclosure on their credit report.
Why a Short Sale Can Be Helpful
A short sale can be a helpful option for homeowners facing foreclosure for several reasons:
- Protect your credit score: A short sale can be less damaging to your credit score than a foreclosure. It shows up on your credit report as a settled debt. Short sales allow you to recover faster and qualify for a new mortgage sooner.
- Avoid foreclosure: A short sale allows you to sell your home and get out of your mortgage. Additionally, This also helps to avoid the other associated fees and issues.
- Debt forgiveness: In some cases, your lender may agree to forgive the remaining balance on your mortgage. This allows you to walk away debt-free.
- Qualify for a new mortgage sooner: After a short sale, you may be able to qualify for a new mortgage sooner than if you had gone through foreclosure. Depending on the lender and the circumstances, you may be able to get a new mortgage in as little as two to three years.
Are You Looking For Short Sale Success?
A short sale can be a viable option to avoid foreclosure and protect your credit score, as demonstrated by our real success story. If you’re struggling to make your mortgage payments, contact Dan Belcher at Mortgage Relief for a free consultation to learn more about your options and determine if a short sale is right for you. There is a light at the end of the tunnel, and we’re here to help you get there.