I get asked this question a lot!
A short sale is where you owe more on your home than what the sale price can produce. Lets say you owe $100,000 and the market is only producing buyers that feel the home is only worth $90,000. The difference is the “shortage” between what you owe and what the home is worth.
The home may need repairs or could be outdated, and most times the seller does not have the funds to keep the mortgage going and to make the necessary repairs.
What can you do:
If you feel that you are going to get behind on a payment, call a experienced agent. They should be able to help you make a plan and have resources that could help you save your home as well. Don’t stick your head in the sand. Waiting only makes it harder and more stressful. Believe me, I know it is stressful and it can be embarrassing! Life happens with job loss, health reasons, and divorce just to name a few.
I would be happy to sit down with you and talk about what all your options are!