What is a short sale?

A short sale is a type of real estate transaction in Washington where a homeowner can sell their property for less than the amount of their mortgage. This allows the homeowner to pay off their mortgage debt without having to file for foreclosure. In a short sale, the lender must agree to accept less than the full amount they are owed. In most cases, this occurs when the homeowner can no longer afford their mortgage payments and is seeking to avoid foreclosure. If a borrower is considering a short sale, they should speak to a real estate lawyer about their options. The lawyer can help to negotiate with the lender to reduce the amount due. Additionally, they can provide advice on how to maximize the chances of success with the lender. The homeowner should also be aware that if a short sale is approved by the lender, it could have a negative impact on their credit score. Additionally, they will need to pay off any remaining balance due on the loan and may have to pay additional taxes on the forgiven amount. In some situations, a short sale may be the best option for a homeowner. However, it is important to understand the potential consequences before making a decision. An experienced real estate lawyer can help to evaluate the situation and provide guidance on the best course of action.

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What is a short sale?

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