North Hollywood Realtor Talks About Short Sales, Foreclosures and Your Credit

Short sales are when sale proceeds are less than the balance owed on the property’s loan. This happens when a borrower cannot pay for the mortgage and the seller decides to sell the property at a loss.Image by Getty Images via @daylife

FICO states that foreclosures and short sales both hit credit by 200 to 300 points.

Some North Hollywood Realtors say repurchase with good interest after a foreclosure can have a wait time of 24-72 months while short sale sellers have to wait only two years.

The decisions over which is better is mixed. Some say there is no difference, while others say there’s less credit damage and less wait time for repurchase after a short sale than a foreclosure. It’s best to seek legal and tax advice before any decision.

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• What I Learned About Short Sales From My Malibu Realtor (movingmalibu.com)
• A Los Angeles Realtor Describes the Effects of Foreclosures and Short Sales on Credit (thelaspecialist.com)
• Pasadena Foreclosures or Short Sales - Which One Is Better? (yourpasadenarealtor.com)
• What I Learned About Foreclosures From My Hollywood Realtor (thebesthollywoodrealtor.blogspot.com)