There are alternatives to bankruptcy or foreclosure for home owners who can no longer afford to keep mortgage payments current – It’s called a “short sale”. A short sale is when a property is sold for less than its remaining mortgage principal balance, and executed as a way for both the existing homeowner and mortgage lender to cut their respective losses.
Typically, although not always, short sales are reserved for situations of extreme financial hardship; just prior a bank beginning foreclosure proceedings.
Beginning as soon as next week, new, mandatory mortgage fees will push mortgage rates higher throughout Sacramento and nationwide. Fannie Mae and Freddie Mac are raising their respective “guarantee fees”.
