When it comes to the housing and financial markets, there are so many people offering “the best professional advice”. The 2008 housing crisis has made NYC residents very nervous. They often started believing any and everything they heard, driving them to making hasty moves ending in major mistakes.

So from that, many negative rumors emerged regarding the process of foreclosures in New York City, as well as the short sale process. Well, here are the rumors laid to rest so you can make an informative decision if a short sale can help you beat the foreclosure process.

My Lender Will Never Agree to a Short Sale

Oh, on the contrary, lenders don’t want to foreclose! Short sales can place much more money back into their pockets. A foreclosure is a lengthy process that costs money.

Does a Short Sale Mean I Can’t Get a New Mortgage?

Depending on your circumstances, you may be eligible to apply for a new mortgage loan in as little as 24 months. This is more common if the short sale was due to medical issues or an income loss. If it were your own financial negligence, it may be 48 months before you could be approved for a new mortgage loan.

It Takes Forever to Get a Short Sale NYC Completed

You can actually have a short sale completed within 90 days of the beginning of your application. You can work with a reputable foreclosure company, like Premier Real Estate NYC who can cover all your options. They will help you with your application to make sure it’s completed in its entirety. Then, you can work with the foreclosure representative or another real estate agent to help you sell your home.

My Credit Will Decline Drastically and I’ll Never Be Eligible for Another Loan

A short sale is much better than having a foreclosure on your record. Your mortgage will be listed as paid as agreed or something towards that manner. What will affect your credit are the consistent late payments.

You can expect your score to fall 150 points at most due to a short sale. On the other hand, a foreclosure can lower you 350 points and more. So keeping up with your other debts during and after a short sale can have your credit back to a good standing quickly.