What Is A Short Sale?

During the process of Foreclosure or Pre-Foreclosure Defense opportunities will arise to sell your home to an interested party. However, this prospective party interested in purchasing your home does not want to pay what you owe on your loan, rather, due to the decrease in value of your home, knowledge of the Foreclosure/Pre-Foreclosure or simply based on comparable sales, the interested party may only want to pay an amount less than what you currently owe. This will cause a deficiency in the payoff of your mortgage, and this is where a Short Sale becomes a means to potentially work out a reduction or even a forgiveness of the remaining balance of the note to your lender secured by the mortgage on your home.