Santa Barbara short sales are often lumped in with Santa Barbara foreclosures - even though the process is entirely different. During short sales, Santa Barbara home sellers decide to sell their home for less than what is owed on their home. Often, the Santa Barbara home seller must seek approval from their lending institution before they can complete a Santa Barbara short sale.
Typically, the bank will forgive a large part of the difference between the amount owed on the house and the selling price during a Santa Barbara short sale. What's more - the lender will often pay for any costs associated with the sale of the property as well, including:
The reason that lenders are so willing to help with short sales is because they'd rather have a short sale than a foreclosure. A foreclosure can take months to complete and it severely diminishes the value of a home.
At least with a short sale, lenders know they'll be able to recoup some of the money still owed on the Santa Barbara home. If you find yourself unable to pay your monthly mortgage on your Santa Barbara home, I recommend you consider a short sale.
As your Santa Barbara real estate experts, we'll be happy to answer any questions you might have and provide you with a number of Santa Barbara short sale resources, including: