Solving the Knoxville Foreclosure Crisis
One Homeowner at a Time

Rick Smenner

RE/MAX Preferred Properties
[email protected]

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Knoxville Short Sale Question: Does Life Go On After A Short Sale?

imagesIn our Ask the Expert Section, we recently received a question from Alex, he asks, "Two years ago, I got into a very difficult situation after my hours were cut at work. I began incurring quite a bit of debt to try and make ends meet, but I could never quite make things work. I stopped making payments on my Knoxville home a year and a half ago, after trying (and failing) to modify my loan. With foreclosure looming, I started a short sale as a last ditch effort. I'm scared about what implications this may have after the sale is completed. Does life go on after a Knoxville short sale?" Alex, first let me say that I'm very sorry to hear about your situation. There are many Tennessee residents who have been in very similar situations are some form of hardship has made it difficult for them to pay their mortgage. So, you're not alone in your situation, there are many others that have gone through a similar situations. When it comes to facing foreclosure on your Tennessee home, it can be very scary and overwhelming situation, making it hard to know where to turn. The good thing is that you've pursued a short sale. As I typically explain it to my clients, a short sale is the best way out of an already bad situation. If foreclosure is inevitable, a short sale is a step you can take to lessen the blow on your daily life. The good news is that there is life after a short sale. After completely a short sale, your credit will take a hit, how bad the damage is depends on the length of missed payments and how the sale is reported to the credit bureaus. Depending on your situation, you may walk away debt free or in some cases your lender will make you sign a promissory note to help repaid what is owed. There is always the chance they can pursue you for a deficiency judgment, but that is very rare. If you went through foreclosure, the damage to your credit would be much worse and there would be no chance of getting the lender to waive the right to pursue you for a deficiency judgement. As I said earlier, a short sale is a better way out of a bad situation, since the outcomes tend to be better. Are you underwater on your Knoxville home? Do you want to hear what options you have to avoid foreclosure? If so, please do not hesitate to give my team a call at 865-696-9002 or send an email to [email protected]. We’ve helped countless Knoxville homeowners avoid foreclosure. Give us a call today for a free consultation.

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