Short Sale or Foreclosure, What Should “I” Do?


TV, newspaper, internet wherever you turn you are hearing about this topic everywhere.  Those facing a short sale or foreclosure know it can be very stressful and often wonder where to turn.  I am here to tell you that “YES” it can be stressful, but once you have spoken with a qualified person that can give you direction, answer your questions and help you to make those first steps, this stressful feeling will subside and you will wonder why you waited so long to ask the question.  What most people don’t know right now, if you were to start asking around, you would be surprised at how many people are in the same situation you are in.  Why are we so afraid to talk with each other about our difficulties…remember when the teacher always said to us, the only stupid question is the one that was not asked?  Shouldn’t that apply in this situation also?

The worst thing you could have to tell your spouse or partner is that you may be on the verge of loosing your home.  Now what, how long will the process take, where do we go from here & most impotantly…where will we live & how long with this affect our credit scores.  These are more than just scary thought.  Depending on the action you have to take; short sale vs. foreclosure both will impact your credit scores but in two very different ways.

Short Sale: May stay on your record for 3-4 years.  How it affects your credit score is based on each situation individually as each of our credit scores are different to begin with.  After the appropriate number of years, you may see this come off your credit report.  If you have a second mortgage, this lender has up to 7 years to come after you for the deficient amount owed on that loan even once the home is sold.

Foreclosure: This will stay on your credit report FOREVER! It may affect the terms of any loan or credit card you try to obtain in the future. 

Neither of these procedures should be taken lightly, however, working with a qualified real estate agent will help guide you through the process and be able to direct you to the correct persons that you may need to speak with in order to make the correct decision for you.  When speaking with a Real Estate agent about how you should proceed, it is important to know that this person can not ethically give you any legal or financial advise on the decision you might need to make.  It is always in your best interest to speak with the appropriate persons for direction in these matters.  Your Real Estate agent should also not pressure you to make any impulse decisions on what you want to do.  Since this decision is going to affect you for many years if not a lifetime, take the time to make the decisions that feel best for you, your spouse and most definitely your family.

The other thing to remember is each situation is different and how the bank works with your agent will be different in each case.  So if you see an agent promoting themselves as an experienced or expert in either of these situations, remember that these designations are self-proclaimed and there is NO government or agency that gives these titles to an agent.

THE SPIRITS TO MOVE are here to assist you in all your real estate needs & questions.  Leave us a question if you have one and we will get back with a private response to you.  We are here to help move you in a professional & confidential manner.

Holiday Traditions continued


Today, I got to once again with my mom do one of my favorite holiday traditions.  We take one day a year and spend it doing the last-minute holiday shopping for the special people left on our lists.  Along with those last-minute gifts that need to be bought, we have a long lunch, watch all the people scamper around looking for their perfect gifts and of course just enjoy the holiday cheer and decorations at the mall.

Since the Mall of American is one of the largest in the US, how can we say we couldn’t find just the perfect gift? Well sometimes that does happen, but mainly just because the person we are shopping for has everything they need, want or could think of.  The mall has brought in many new stores such as Ed Hardey, the MAC store and so much more.  There are also many of the old-time favorites such as Victoria Secrets, Sears, and Macy’s.  The holidays are such a wonderful time to give, but don’t forget the ones that have had to break family traditions due to financial & other stresses our recent economy has brought on many. 

People have many different holiday traditions from which day is spent with which family, Christmas Eve or Christmas day.  What the meal will consist of; prime rib, ham, lasagna or some other cultural food.  How the family will open presents; youngest to oldest or oldest to youngest, all at one time or many very different ways.  Also, I have heard lately that some families take the time to serve a meal in the food kitchens, go to an elderly home and spend some time with an elder that doesn’t have anyone to come to see them on this very special day.

It amazes me when THE SPIRITS TO MOVE get in the souls of some people what they can actually do to brighten another persons holiday.  Isn’t that really what  this season is really about? How we as good people can help a person less fortunate than us? I do believe that this is what the holiday is about and that there are lots of good people in this world that look to make others smile as well.

With the holiday dancing closer minute by minute, take a moment to reflect on some of your own family traditions and maybe how some new ones could also be added to brighten someone elses holiday.