An increasing number of homeowners owe more on their mortgage than their property is worth. If the borrower doesn’t want to continue making payments, he could explore executing a short sale of the property, or foreclosing on their loan. Ingrid Case provided some great information on these options in this month’s Financial Planning Magazine. I’ve summarized her thoughts below.
A short sale enables a property owner to sell their home at market value, and the bank forgives whatever part of the loan isn’t covered by the proceeds of the sale. Some experts believe a bank will not begin discussing a …Read More