Decision making can be a painful process. Sometimes it feels that the biggest and hardest decisions must be made at a time when we have the least amount of strength to make them. When we are emotionally involved with an individual and have their health care power of attorney....it sometimes feel like no matter what the decision, the question is who are we deciding for....for our comfort or the comfort of the person who may be suffering and will never recover to regain the quality of life that they had enjoyed before the threatening health care situation.
For short sale sellers, there can be agonizing decisions complicated by each unique seller(s)' situation...the health, the unemployment, the death or divorce. The hardship that has put them in the situation makes the decision to do a short sale less than automatic....less than simple and always complex.
What we are learning is that the rules are always changing. Lenders are sometimes not forgiving all of a HELOC and requiring sellers to work with them for a portion of it to be re-paid. The pain of disappointment is evident when a short sale looked as though it was a complete and total forgiveness of all house related indebtedness,....a chance to start over.
From our perspective, you STILL have that chance....if the alternatives are bankruptcy or foreclosure, examine them carefully. We know that there are less than objective sources who will immediately encourage bankruptcy....never mind how many years it will be before the sellers can buy another home..that getting a car loan will be challenge...that charging holiday presents on non-existent credit cards will make the holidays a lot less cheerful for years to come. The short term fix may not be the very best answer....soothing the momentary pain may just be a tourniquet that will continue to bleed financially for years to come. Consult legal counsel, a qualified short sale realtor, and take the time to make the decision that is best one for the long term...for the better life you deserve.
Bankruptcy should be an absolute last resort for anyone! Great advice.
Let's hope after they think about it....they will come to the same conclusion...we hear that this has been a popular family solution....grrrrr.