There are a lot of things to consider when selling a home in Sacramento, but your credit score may be one that you haven’t thought of! If you’re looking to short sell your home, it’s a good thing to consider how this might affect your future finances.
What Is A Short Sale?
Short sales are typically only agreed on if you can’t repay your mortgage, or if your home will cost more to fix than it will profit when you sell. These are arrangements where you and your mortgage lender agree to sell the house for less than it’s worth, or less than you owe on your mortgage. Not every lender will let you short sell your home, and many homeowners have to be over 90 days unpaid on their mortgage for a lender to even consider a short sale.
How Does A Short Sale Affect You?
When you’re selling a home in Sacramento, a short sale definitely has repercussions. After you go through with a short sale on your home, your credit score can drop by as much as 150 points. If you’re already below 500, that’s not a hit you can afford. Your credit score is deeply influential on what you can buy- for example, you can’t take out a car loan, find a new mortgage, or sometimes even get a credit card if your credit score is low enough.
Is A Short Sale Really The Best Option?
For many mortgage owners, short sales often aren’t the best option to take. They can destroy your credit score and cause you to be unable to borrow for your next home, making it harder to find a good place to live. Instead, consider selling your home as-is to a great cash-for-homes service like Rapido House Buyers, where we make sure you get the money you need, when you need it. We can help you sell your home fast for cash. Don’t worry about going through with a short sale- instead, get your money’s worth with Rapido House Buyers.