Short Sales in Three Sentences

Mortgaged property may be the subject of foreclosure if the borrower defaults. A lender may agree to a short sale in lieu of foreclosure in some circumstances. A short sale entails selling the property for a price less than the amount of the remaining mortgage debt, applying the sale proceeds to lower the remaining mortgage debt, canceling what then remains of the mortgage debt, and releasing the mortgage.texas foreclosure mortgage short sale real estate

In our Law 101 posts, we define terms, phrases, or concepts with the goal of conveying core information in order to set the stage for more complex discussions.

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