Foreclosure vs Short Sale

As a Certified Distressed Property Expert, I know many homeowners think that there's no difference between a short sale and a foreclosure in regard to their credit or their life.

Nothing could be further from the truth.

Fact#7: The affect of a foreclosure on your credit score is significant. In most cases, it will be lowered anywhere from 250 to over 300 points! Typically, it will affect your score for over 3 years. With a short sale, only late payments on a mortgage will show and after sale, the mortgage will be reported as paid or negotiated. This will lower the score by as little as 50 points if all other payments are being made. A short sales affect can be as brief as 12 to 18 months. (Source: Distressed Property Institute, LLC)

Homeowners need to know the facts about foreclosure and ways to avoid it...if you have questions, contact me at jerry.cobb@wesellmore.net or 719/492-4041