If you or someone you know has an ARM that is scheduled to adjust in 2007 or 2008, please schedule an appointment with a mortgage specialist right away. Don’t let a foreclosure or default situation sneak up on you. Remember, even if the Federal Reserve does lower its Fed Funds Rate later this month (which does seem likely), the majority of these ARMs borrowers will not be positively affected or “saved” by this move. For many borrowers, a short sale or a foreclosure will be the only available option.
What is a Short Sale?
A short sale, defined as an “agreement” to allow a home to be sold for less than the amount that is owed, can be a helpful compromise for everyone involved. For debt-ridden homeowners or those who owe more than the house is currently worth, a short sale could save them some of the enormous pain, embarrassment, and major credit challenges associated with bankruptcy and/or foreclosure. For lenders, it helps avoid some of the hassle and expense of seizing and auctioning off delinquent real estate. Lastly, for potential homebuyers and real estate investors, a short sale offers a great opportunity to purchase property at a significant discount in today’s tight-fisted credit environment. Read on at….http://www.allaboutnews.com/vc.php?a=y&b=23&i=143&rs=80b2f6425c0fae123c4fd8e
Source: All About News, Inc.