With the new phenomenom of the "short sale" it seems like many average people believe this is the solution to their problem of saving their credit. The illusion that a short sale is all around better is false. The truth is both the short sale and a foreclosure is a major blemish on your credit. One the short sale has the potential of allowing you to repair your credit quicker, while the foreclosure is a longer process relying on a end buyer to eventually purchase your home.
As I mention throughout the body of this blog the federal government dosen't want you to loose your home. If you have no other alternative and you cannot follow the steps outlined in the blog then this is an option. The point I am trying to get you to remember is that one is not all around better than the other. They both have the impact of causing you damage on your credit report. The short sale is faster in your world of recovery since the end buyer is already identified and purchased the home at a discounted price. However if your credit is dinged in other areas such as credit card debt and other consumer debt than your credit may be just as bad as allowing the foreclosure to take place
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