Investment and Vacation Real Estate - Orlando, Florida

The bad news is: Short Sales and Foreclosures are both going to have a negative impact on your credit report. It's devastating.  But, if you can negotiate a Short Sale quickly and successfully, you can minimize that negative impact significantly.

Foreclosure

Without a doubt sellers will incur more damage on their credit report by going through foreclosure. Typically your credit score will take plunge between 200 to 300 points.

Short Sale

Short sales have a far less damaging affect on a seller's credit report. Credit scores typically lose between 80 to 120 points. What happens to your credit down the road? It takes around three years after a foreclosure before a lender will offer a sensible interest rate, whereas for a person who went through a short sale typically waits around 18 months to buy another home at a good interest rate.  When you sell your home via short sale your credit will show late payments and a "settled for less than owed" BUT will NOT show that the home was actually foreclosed.

Salvaging your credit should always be the primary concern when making the decision between a short sale and stopping foreclosure. The savings in interest payments alone should be convincing enough for most people, not to mention your buying power in the near and distant future.

Orlando Short Sale Real Estate - Short Sale Listings Orlando