The Bank Short Sale – The Best Way Out Of Foreclosure?

A bank short sale is definitely not the only way out of a foreclosure, but it has many advantages that far outweigh other alternatives. A borrower facing this type of situation is already struggling under heavy financial constraints and may not be prepared to deal with the complexities of a short sale. The important thing to understand is that if approved for a bank short sale, the owners could find themselves in the best position possible to buy another home in the future.

It’s hard to admit that we may lose our home due to financial trouble, but if we must let it go, avoiding foreclosures should be our primary goal. A bank short sale may be the best way out of the situation – but it’s not the only way out. We could opt for a foreclosure and lose our home, have our wages garnished, owe thousands in unpaid property taxes, and be chased down for years by collection agencies. Don’t forget the destroyed credit. If this scenario doesn’t appeal to us, then we could do a bank short sale and settle all of these issues up front.

Either way, for the layman, a bank short sale or foreclosure can be quite stressful due to all of the complexities involved. There are attorneys, lenders, accountants, complex forms, legal jargon, and the internal revenue service to deal with. On top of that the money is tight on every side. We’ve got to remember in this situation that all parties involved are trying to get as much of their money as they can – so we’ve got to be prepared for anything. Banks are well-known for dropping surprise requests at the last second. Don’t allow yourself to be pushed around!

These last second surprises can be avoided if we seek expert advice from the outset. We don’t want to attempt a bank short sale without expert assistance of some kind – and should not procrastinate in acquiring it. Throughout the process we’ll deal with complex issues of property taxes, our loan, and real estate. We’ll need an expert in each of these areas. If you look in your area you should be able to find services that provide you with the expert assistance of qualified accountants, lawyers, and real estate agents – who will be paid by your lender. As with any type of service you need to exercise discretion in order to get the best assistance available.

A bank is losing money with a short sale and are not necessarily enthusiastic about doing them. They avoid a foreclosure – yes, but their attitude is not to be considered enthusiastic. They can be difficult to deal with at times because they’re trying to get back as much money as they can. For this reason they might not always move as fast as we want – although we know they can. Patience is a valued virtue here – so practice it and keep cool. If you’ve ever had to work with the government you know exactly what dealing with these banks will be like.

The bank short sale is stressful on all involved, but if we complete it successfully, we’ll definitely be the winners in the end. Hopefully, we’ll come out the other side with no unpaid taxes, no bankruptcy and no foreclosure. This is why a short sale is so much better than foreclosure. It’s a tough process – yes, but in the end we’ll still be in a great position to purchase another home. Completing the process prepares us for our new future. A bank short sale is not the only way out – but I’ll take it over a foreclosure any day of the week.

Anthony Mauwer’s free advice has helped many homeowners successfully complete a bank short sale. Be sure to take a look at his short sale blog for tips, advice, and information on how the bank short sale can work for you.