Short Sale Defined

Gearing up for our Foreclosure Seminar on Jan. 21st, we would like to share some short sale info:
A Short Sale is a real estate transaction where a property is sold for less than what is owed to the seller's existing mortgage, usually due to an impending foreclosure. In this situation, the lender for the seller's mortgage agrees to forgive a portion of the loan amount to help the seller avoid foreclosure and sell their property to a new buyer.
Prior to the Mortgage Forgiveness Debt Relief Act of 2007 a lender would typically send a 1099 to the Seller in the following year for the amount that the mortgage had been discounted to close the short sale transaction.
Many homeowners are affected by adjusting rates of ARM loans. Many are in a position to sell their property due to little or no equity to refinance out of their unaffordable interest payments.

If you need help with your loan come to our seminar. There are options & the Canaday Group Mortgage Counseling Department may be able to help you.