Short Sale or Foreclosure?

Short Sale or Foreclosure?

This year, 2010, of the total sales in Arroyo Grande and Pismo Beach, one half were either homes that were bank owned (REOs) or short sales (pre-foreclosure). And Half of those sales were foreclosures, the very last option for a home owner. 

Selling your home as a short sale is the better option. Below are four good reasons why.

1) After a
short sale, if you were current on your mortgage payment; you may
qualify immediately for a new home loan. After a foreclosure, the time
period to buy another home is from 5 to 7 years. 

2) Short sales are seldom reported to the credit bureaus,
but foreclosures are always reported.

3) Normally,
a lender will not file a deficiency judgment after a short sale, but
one is always filed after a foreclosure. The foreclosed home owner can
be liable for thousands of
dollars until the judgment is paid to the lender.

4) New loan
applications require disclosure of a previous foreclosed home.  The
application does not inquire about previous homes involving short
sales. Ref:

Please give me a call if you have any questions about short sales.

805-471-0828 or Toll Free 877-471-0828


About David Norwood - Central Coast Real Estate

ABOUT DAVID NORWOOD Real Estate Broker DRE# 01260196 - 805-270-5860 David Norwood owned a marketing, design, and photography studio in Los Angeles for 25 years, from 1976 to 1999. He also worked as a Licensed Real Estate Appraiser from 1994 to 1999. After moving to the Central Coast in 1999, he worked as a Realtor/Associate, and shortly afterwards earned a Real Estate Brokers License. Now he has his own brokerage company, David Norwood Central Coast Real Estate. Licensed Real Estate Broker #01260196 Licensed Real Estate Appraiser exp. Master of Science Degree, Cal Poly BA Art / Marketing, Photography and Design Areas Served- All of the Central Coast including, but not limited to: Arroyo Grande, San Luis Obispo, Oceano, Grover Beach, Nipomo, Morro Bay, Cambria, Santa Maria, Cayucos, Los Osos, Santa Margarita, Atascadero, Templeton, Paso Robles, Avila Beach, Pismo Beach and Shell Beach;
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