CLICK HERE TO SEARCH FOR FORECLOSURE PROPERTIES

BEHIND ON YOUR MORTGAGE PAYMENTS?  VISIT KEEPMYTEXASHOME.ORG

CLICK HERE FOR MUST READ INFORMATION REGARDING SHORT SALES

FACING FORECLOSURE?

Having trouble paying your mortgage? Need help?  Learn how to reduce your mortgage payment (including taxes, insurance and HOA payments) to 31% of your current income and take advantage of reduced interest rates if you qualify. Click www.MakingHomeAffordable.gov for more information.  Don't wait - please call me if you need assistance!  There's help available!

Be extremely careful of anyone making promises to "save" your home or lower your mortgage for a fee.  Foreclosure rescue and mortgage modification scams are on the rise.  You must protect yourself so you don't lose your home.  The government is providing FREE resources to get you the help you need.  At any time, you can call the Homeowner’s HOPE™ Hotline at 1-888-995-HOPE (4673) for information about the Making Home Affordable Program and to speak with a HUD-approved housing counselor.  Assistance is available in English and Spanish, and other languages by appointment.

SHORT SALE VS. FORECLOSURE?  WHAT'S THE DIFFERENCE?

Regardless of what anyone may tell you, both a foreclosure and short sale will have a negative impact on your credit, however, there is a difference in the severity of the damage between a foreclosure and a short sale.  A foreclosure will show on your credit as a foreclosure/repossession whereas a short sale will show as pre-foreclosure in redemption status or settled.  A foreclosure can prevent you from purchasing a home for 5-7 years whereas new Fannie Mae and Freddie Mac guidelines have changed the seasoning of a short sale to 2 years – which means you can purchase a home much sooner. 

Foreclosures also generally have a more severe impact on your FICO score.  Due to the high number of missed payments many people accrue over the course of their foreclosure most people report a drop of 200-300 points in their score.  If you are proactive about short selling your home you can reduce this number by acting quickly to get your home on the market and sold.  Most people who complete a short sale report a drop of 80-120 points in their credit score. 

The short sale process is also far more discrete than a foreclosure.  Your friends, family and neighbors do not need to know you are doing a short sale on your property and your property will be marketed like any other home for sale.  When the property closes escrow you will move out and move on with your life.  When your home is facing foreclosure the bank generally posts a notice of trustee sale on your property.  If the property does go to foreclosure and you or a tenant is living in the home there will be an eviction process followed by a listing – where it is generally marketed as a bank owned or foreclosure property. 

A short sale allows you to get out of a home that is causing you a financial hardship without having to face foreclosure.  I highly recommend that if you are considering a short sale, you call me or another real estate professional as soon as possible to reduce the impact on your credit and begin negotiations with your lender.  Best wishes!