It appears that short sales are now replacing foreclosures in the marketplace. The Denver Post recently published an article stating that short sales are up 47% over the first seven months of 2010. We are seeing a trend in the market of people looking for options to reduce their debt, while attempting to preserve their credit and simply ‘do the right thing’. Rather than simply foreclosing on their homes and damaging their credit, sellers are looking at short sales as a viable option. It makes sense for both the seller and the banks to look for ways to mitigate their losses. However, the industry is still tentative. For example, Fannie Mae is still moving forward with foreclosures, even when there is a possibility of a short sale. What we need now is for the lending institutions to get creative and move the short sale process along much more quickly.
To read more, visit http://www.denverpost.com/realestate/ci_15998499?source=email