Lender helps homeowners avoid foreclosure giving $2,500 or more cash at closing

Wachovia Corporation is extending cash incentives to boroowers willing to sell their homes as a short sale, rather than going through foreclosure. Borrowers who have found themselves upside down on their Wachovia mortgage may receive 1% of the purchase price (minimum of $2,500) when they sell their home as a short sale. The borrowers get their cash incentive after the successful sale.

With the lender's approval borrowers in a short sale sell their property of less than they currently owe in home loans. The lender forgives a portion of the mortgage in order to allow the seller to sell the property.

In the past short sales have been given a bad reputation, often taking longer than a traditional sale, often nine months or longer to obtain the necessary approval of the lender. Many homeowners are intimidated by the whole process and let their home go to foreclosure. They may lose out on a short sale that could in fact be a better choice in the long run.

Lenders have recently decided that a short sale ends up saving them money and is in fact quicker than a foreclosure. Wachovia has set itself apart from other lenders and taken this agressive stance in turning foreclosures into short sales. It creates a win-win situation for the homeowner and Wachovia.

If you have questions about short sales, loan modifications or foreclosures, please contact us or fill out the form below and we'd be happy to contact you.