Lansdale, PA -- (SBWire) -- 03/05/2020 --When purchasing a house, most borrowers are not worrying about the possibility of foreclosure. However, when homeowners are unable to pay their mortgages and the value of the properties is less than what they owe, foreclosure can rear its ugly head and send homeowners into confusion, panic, and even more financial losses. Fortunately, the Philadelphia bankruptcy lawyers at Tadross Law are available to help homeowners avoid bankruptcy and foreclosure, including short sales.
A short sale is an action many delinquent borrowers can utilize to stave off foreclosure. It involves the borrower selling the house for a price lower than the amount owed so that the lender can recoup the majority of their losses. This process can be beneficial to most borrowers for a few reasons, including foreclosure avoidance, as well as credit penalty and financial burden reduction. The lawyers of Tadross Law provide legal representation to clients filing for bankruptcy and in danger of foreclosure, and they urge homeowners in jeopardy of foreclosure to consider a short sale.
Foreclosure is the event in which a lender (usually a bank) repossesses a home due to too many missed mortgage payments. The process usually ends with a property sale or auction to recover as much money as possible. A foreclosure appears on the delinquent borrower's credit report once it is filed and remains on the report for seven years after the first missed payment. It can also lower the credit score by 250-300 points. For this reason, a short sale is a better option. This alternative still has a negative effect on the borrower's credit score, but there is no foreclosure mark, and the credit score repair is much more manageable.
Foreclosure is also a long and arduous process that includes a deluge of paperwork, litigation, and additional fees and payments that can become a considerable financial burden on both the lenders and the borrowers. A short sale, on the other hand, requires much less paperwork and time, and it has the potential to make more money for the bank than at auction.
Unfortunately, some lenders will file a deficiency judgment after the short sale to recoup the remaining balance on the mortgage. Luckily, at Tadross Law, the short sales lawyers are ready to discuss the risk of a deficiency judgment and negotiate for a reduced or waived judgment. For more information, visit https://tadrosslaw.com/ and call the short sale professionals at Tadross Law today.
About Tadross Law
Tadross Law was founded with the goal of helping clients across the Greater Philadelphia area with their legal needs, whether in the form of litigation or transactional issues. This law office is well-versed when it comes to IRS tax matters, general civil litigations, and transactional matters, and takes pride in offering affordable flat rates instead of billing clients by the hour. Individuals who need assistance surviving debt and financial insecurity can find refuge with Tadross Law.
To learn more about Tadross Law, please visit http://tadrosslaw.com/ or call 215-500-5000 if in Philadelphia or 267-643-1415 if in Lansdale, PA.
Tadross Law Providing Legal Representation and Counsel to Homeowners Considering Short Sales