By Kathy Henne

Contributing columnist

If you are a homeowner who can no longer make your monthly mortgage payments, you still have opportunities to avoid foreclosure and the damage it will do to your credit. Although more complicated and more challenging, a “short sale” may prove to be the best alternative.

If you are unfamiliar with the term, a “short sale” can happen when your mortgage lender agrees to let you sell the home for less than you still owe on it and may forgive the difference. Why would a lender settle for such a sale? Quite simply, the lender may determine that they will still receive a higher amount of the remaining balance though a short sale than they would though the very costly and time-consuming process of foreclosure.

Why would a homeowner agree to sell the home for less than they owe? As already mentioned, a short sale keeps the homeowner out of foreclosure and reduce the damage to their credit and subsequent ability to purchase another home in the future.

In the middle is the real estate agent, helping the sellers, the lenders, and the buyers navigate the complexities of the transaction to reach a satisfactory conclusion for all involved. Homeowners can trust their representative to be honest and to provide a fair assessment of value for all parties. You need an experienced CDPE (Certified Distress Property Expert) real estate agent to be your champion and advisor during the negotiation. Their training and experience will provide you with the help you need to navigate the short sale process.

Contact the Kathy Henne Team RE/MAX by calling 937-778-3961.