Hello, I am Matt Fetick with SoldbyShortSale.com, Philadelphia’s main short sale specialists. Thanks for joining me today, I know there are a variety of places you’ll be able to go to get data and we respect you coming to us for information.

At this time I would like to share my ideas on why banks love to do short sales. Why would a financial institution favor to do a short sale over foreclosing on a house? People typically wonder why a financial institution would take lower than what is owed on the property. Well, let’s face it, in case you are behind on your mortgage payments, have stopped making your mortgage payments, or you’re quickly going to be in that position, maybe due to loss of earnings, or job switch, it’s generally within the financial institution’s best interest to complete a short sale. Especially once they know they can’t modify the loan or keep you in the home.

The banks need to do retention first. If they can keep you in the residence, they need to maintain you there by a loan modification or something like that and that is an incredible option. If they can’t then their best alternative is to cut back the amount of loss that they’re going to have on the loan that they made.

Banks are within the business of lending cash, not in the business of owning real estate. They have no interest in acquiring and holding real estate. When a financial institution forecloses, it should end up costing them much more money. The process of foreclosing is a very costly proposition. Once we can promote the home and say they don’t have to do a thing, and after they take a look at our selling price it is normally more than they might make on a foreclosure in many cases. So we generally know that the banks would like a short sale when they’re heading in the direction of an impending loss.

If you need to know more concerning the short sale process or short sales on the whole, please visit our website at SoldbyShortSale.com. We are Philadelphia’s main short sale specialists. Feel free to click on for more data or give us a call. One of us will contact you as soon as we can. Thanks and we look forward to speaking with you soon.

For more information on short sales and how to avoid foreclosure, visit the Sold By Short Sale blog or you can also contact the Matt Fetick team and get started today.