Loss Mitigation Blog

Short Sale and Property Disposition Options

These options are reserved for those who are unable to catch up on their mortgage payments or cannot keep their home. For whatever reason, the short sale can be used in order to avoid a foreclosure. Foreclosures can stay on a person's credit score up to 7 years which can cause a lot of damage. The Mortgage modification loan will make sure that there are other options available such as being able to do a deed-in-lieu of foreclosure. The property disposition program is reserved for those who owe more on their home than for what it is worth. It will allow the homeowner to control the timing needed before the homeowner has to move out. The short sale must be granted under the Home Affordable Foreclosure Alternatives, also known as HAFA. A consumer can get at least $3000 in financial assistance when trying to sell their home. If the homeowner does not meet these deadlines, the bank may still consider doing a regular short sale.

For those who are interested in this type of property disposition program, the homeowner will need to submit a request using a short sale information packet. (Banks have this information and they might mail the information or fax if requested). In order to qualify, homeowners must be facing hardship of some kind that would allow them to fall behind in their payments.

Related Posts : Property Disposition, Property Disposition Options, Short Sale, Short Sale Loss Mitigation