We've seen these three words in the same section describing options people have. When you are in a position of looking at foreclosure or short sale, it's hard to imagine your credit score is going to still allow you to refinance if you've missed payments. Qualifying for a loan modification is more of a probability than qualifying for a refi.

To do a short sale you don't necessarily have to be behind on payments. If a Realtor is advising you to miss payments keep in mind they are not financial advisors, or attorneys. We've been successful in helping people do short sales without missing any payments.

Most people don't see foreclosure as an "option" unless they are planning on it as part of a strategy... which can have legal ramifications. Foreclosure is more of a result that comes from unsuccessfully trying to keep and/or afford your home.

Short sales often leave you in a better position for the future, but that's not true for everyone. It depends on how the short sale went, including missing payments and any agreements as to what happens with the deficiency. We've seen short sales reported in different ways on credit reports which also makes it harder to determine.

If you're in a tough position and aren't sure what to do, you can call us to see if we're able to help.