What is a short sale? A short sale is the process of selling a home in a negative equity situation and obtaining approval from note holders to accept the sale.
Who should consider a short sale? If all options have been exhausted and the home is headed toward foreclosure, then a short sale may be the best option at the current time.
When should you consider a short sale? A short sale should be considered once all other options are exhausted. However, they are less common at the start of a market cycle change, when you may still have some equity. The longer a market declines, the more common short sales become.
Why is a short sale beneficial? I’ve personally seen people complete short sales and begin rebuilding their finances for a new home. The most inspiring stories are those of individuals who, just a few years later, are able to buy back in during a market downturn. I have seen some achieve great success. It helps to have the right mindset, knowing you explored all options and are looking forward to rebuilding and becoming a homeowner again.
It’s 2025, and I expect to see more short sales in the coming years, simply based on the fact that home prices have reached new highs across the nation and in our locally served markets.
Have questions? Let’s chat.
JoAnn Outland