Chicago Short Sales| SHORT SALE vs FORECLOSURE| Illinois Short Sales| Prudential Rubloff
In this Corner: FORECLOSURE
1) Foreclosure in Illinois is a Judicial Foreclosure . This means that the foreclosure must be approved by a Judge. This also means that if a person's home is foreclosed on, that they will actually have a judgment against them on their credit report.
2) A foreclosure will remain on a credit report in the public records section for up to at least 10 YEARS.
3) The other issue with the foreclosure is that on loan application (for purchasing a new home), under Declarations, Section VIII it specifically asks a borrower if they have had a property foreclosed upon in the last 7 years.
4) The other issue with a foreclosure in Illinois is the Deficiency Judgment. Deficiency judgments are allowed in Illinos. Th lender has the right to ask the court for a money judgment against the previous home owner personally.
As a result of a foreclosure, a home owner will most likely have the following repercussions:
1) 3 judgments against them
2) Docked at least 300 points on their credit report
3) NO HOME PURCHASES FOR AT LEAST 7 YEARS!!!!
Yes you heard right: NO HOME PURCHASES FOR AT LEAST 7 YEARS!!!
In This Corner: SHORT SALES
1) NOT A JUDGEMENT! BANKS DO NOT GENERALLY ASK FOR LOSSES BACK
2) If the home owner does go through a Short Sale and the bank does not request a money judgment, the homeowner's credit could be affected by as little as 100 points. Much Less when compared to a foreclosure!
3) Purchasing another home after a short sale can hapen in as little as 24 Months when going through Fannie Mae!!! This is extremely important because Purchasing a home with a conventional loan after a short sale can happen in as long as 5 years
To make a long story short, both short sales and foreclosures are things that you dont want to happen to you as a homeowner. However in terms of the hit on your credit and your future buying power, a short sale is usually the lesser of two evils
Don't lose your home to foreclosure! If you or someone you know is dealing with financial hardship and is on the verge of losing their home, please contact me immediately! Let my experienced Chicago Short Sales team help you avoid foreclosure.. Our help is only a phone call or email away!
Senior Broker- Chicago Short Sales Expert- Certified Short Sales Expert
PRUDENTIAL RUBLOFF CHICAGO
Office 312 264 1176
Cell 630 327 9136
Disclaimer: nothing on this site is to be taken as legal advice. only a licensed attorney can answer legal questions. contact a attorney for all your legal short sale questions