▣ Foreclosures VS Short Sales
Short sales, also known as pre-foreclosure sales, are an option for people looking for a way to avoid foreclosure. In a short sale, a lender agrees to accept less than the amount owed against the home. Some sellers don’t have the equity pay all costs of sale.
The term “short sale” can sometimes seem like a misnomer, as negotiating the sale can be drawn-out. The more people involved in the negotiation, the less likely it is to be finalized. Multiple parties must agree on short sale terms, so the sale can drag on interminably.
The attorney fees are usually much higher in foreclosure transactions. In short sales, liens are negotiated that benefit the owner, but liens are quashed during the foreclosure process. Seek counsel before determining your course of action.