As investors, when we hear the words short sale or foreclosure we may naturally start to salivate; and rightfully so. If you know the ins and outs; they are a great opportunity to make large amounts of money.
What we don’t always think about is the other side. The person who is having to short sale their property or being foreclosed on.
And it doesn’t matter if it’s an investment property, primary residence, second home, you name it; it’s not a fun place to be and most of the time, they are less educated on the process and potential ramifications. And that makes it a pretty dangerous and scary position to be in.
That being said, here are some words of advice that might make the situation a little better as well as make your long term future a little clearer and a whole lot less unsure.
- You Must Educate Yourself
There are a lot of moving pieces in a short sale or foreclosure and you have to get educated on processes. You need to take your head out of whatever you are doing and understand what exactly is coming down the pipe. Once you start, you’ll be kicking yourself for not doing this a lot earlier. Take control of your out of control situation. - You Must Get Professional Advice!
This goes hand-in-hand with educating yourself; but you must make sure it’s the right information! Find a professional attorney, accounts, whomever you many need and get answers to your questions. Also, make sure it is someone who is actively doing business in these ? elds, not someone who is resting on old laurels or never really had the experience in the ? rst place. You’ll realize that getting some of your biggest “fears/questions” answered; it may not really be as bad as you think. - Only You Have Your Best Interest in Mind
I know, that sounds negative but unfortunately it’s true. Even though you many have lawyers, Realtors, title companies all working on your behalf, stay involved. Take the 15 minutes or so every other day to do your own follow up and make sure everything you are being told is getting done, is actually getting done. You are the one who has to live with the consequences, not them. It will certainly be worth it!