Sunday, December 5, 2010

To Short Sale or Not to Short Sale?

My husband and I; like many others, are trapped in a home that we paid WAY too much for in 2004.  We finally decided to talk to an attorney last Monday and find out what he had to say about whether or not we should short sale our home.  Now mind you we had a bit of dilemma with trying to decide what we were going to do because we could technically try to suffer it through for a little bit longer but things weren't looking good for us to be able to continue to do this since my job had cut hours and my husband's job is going through some transitions.  What do we do?  We also know that we want to be moving out of state in few years too so we also need to be thinking about our future and how this choice will affect that future choice.  Once we explained all of this to the attorney he completely took me by surprise with his response.  He said that we need to be looking at this as if it is a business decision and not a moral one.  He said even if you wanted to look at it from a moral point of view then we should try this on for size.  Would you pay $174,000 for a Toyota Corolla?  I think not.  The banks were basically taking advantage of people before and and they are continuing to do it now.  If you won't pay that price for a car then why would you pay $200,000 for a house that is only worth $60,000?  Once he presented it to us that way the decision became very easy and very clear...short sale.

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