FORECLOSURE vs. SHORT SALE
THE CONSEQUENCES HOMEOWNERS' FACE
Most people do not realize the implication a foreclosure will have on the rest of their lives. At the Atlanta Property Shoppe, we have a team of certified distressed property experts who have the expertise necessary to save your credit, relieve the uncertainty and most of all, HELP YOUR FAMILY! Call today to speak with one of our short sale experts to find out how we can help you avoid foreclosure.
THE CONSEQUENCES HOMEOWNERS' FACE
Most people do not realize the implication a foreclosure will have on the rest of their lives. At the Atlanta Property Shoppe, we have a team of certified distressed property experts who have the expertise necessary to save your credit, relieve the uncertainty and most of all, HELP YOUR FAMILY! Call today to speak with one of our short sale experts to find out how we can help you avoid foreclosure.
| Concern | Foreclosure | Short Sale |
| Future Loan Approval | A homeowner who loses a home to foreclosure is ineligible for a Fanne Mae backed mortgage for a period of 5 years. | A homeowner who succesfully negotiates and closes a short sale will be eligible for a Fannie Mae back mortgage after only 2 years. |
| Security Clearance | Foreclosure is the most challenging issue against a security clearance outside of a conviction of a serious misdemeanor or felony. If a client has a foreclosure and is a police officer, in the military, in the CIA, Security, Airline positions, or any other position that requires a security clearance in almost all cases clearance will be revoked and the position will be terminated. | A short sale on it's own does not challenge most security clearances. |
| Current Employment | Employers have the right and are actively checking the credit regularly of all employees who are in sensitive positions. A foreclosure in many cases is grounds for immediate reassignment or termination. | A short sale is not reported on a credit report and is therefore not a challenge to employment. |
| Future Employment | Many employers are requiring credit checks on all job applicants. A foreclosure is one of the most detrimental credit items an applicant can have and in most cases will challenge employment. | A short sale is not reported on a credit report and is therefore not a challenge to employment. |
| Deficiency Judgement | In 100% of foreclosures (except in those states where there is no deficiency) the bank has the right to pursue a deficiency judgment. In a foreclosure the home will have to go through an REO process if it does not sell at auction. In most cases this will result in a lower sales price and longer time to sale in a declining market. This will result in a higher possible deficiency judgment. | In some successful short sales it is possible to convince the lender to give up the right to pursuit of a deficiency judgment against the homeowner. In a propety managed short sale the home is sold at a price that should be close to market value and in almost all cases will be better than an REO sale resulting in lower deficiency. |
| Credit Score | Credit scores may be lowered anywhere from 250 to over 300 points. Typically a foreclosure will affect the score for over 3 years. | Only late payments on the mortgage will show and after the sale the mortgage will be reported as paid or negotiated. This will lower the score as little as 50 points if all other payments are being made. A short sale's affect can be as brief as 12-18 months. |
| Credit History | Foreclosures will remain as public record on a person's credit history for 10 years or more. | Short sales are not reported on a credit history. There is no specific reporting item for "short sale." The loan is typically reported "paid in full or settled." |
Click Here to get more information about short sales.
Click Here to learn the benefits of having a short sale expert represent you.
DON'T LET TIME RUN OUT!
THERE IS A HUGE DIFFERENCE BETWEEN
LIFE AFTER FORECLOSURE AND LIFE WITHOUT FORECLOSURE!
ALLOW US TO BE YOUR ADVOCATE!
Atlanta property shoppe at
Keller williams Realty
Office: 404-419-3500
Direct: 404-419-3696
Fax: 404-419-3501
www.MyLifeWithoutForeclosure.com
www.AtlDistressedPropertyExperts.com
