If you’re in need of foreclosure defense services, there’s a good chance you’re underwater on your mortgage. If you’re facing foreclosure, a short sale is likely a preferable option. According to the Palm Beach Post, Florida has many unique laws that make short sales a particularly beneficial option for homeowners. In a short sale, the seller agrees to sell the home for less than they currently owe on the mortgage. For the sale to go through, the mortgage holder must approve the short sale.
In Florida if your home is foreclosed on, you may still be found liable for a deficiency judgement. If the bank sells your house for less than you owe on it, Florida law allows your mortgage lender to seek a judgement against you in court for the amount you owe. In this case, your lender can garnish your wages for up to twenty years after foreclosing on your home.
With a short sale, banks usually wave their right to seek a deficiency judgement. For this reason, short sales are a good option for those facing foreclosure. You can get out from under your mortgage with your credit intact.
Short sales typically take much longer to go through than traditional home sales. According to the Orlando Sentinel, approval must be given by the seller, buyer and the mortgage holder before a short sale can go through. For this reason, short sales in Florida typically take between three and four months to complete.
If you’d like to learn more about how short sales can help you, contact us.
