What is a short sale

[Supermomma]

What is the name of your state (only U.S. law)? md

when a house has to go into short sale, what are the responsibilities/penalties for the seller(owner).

 

[Supermomma]

ok i googled it and I know what a short sale is. My other question stands. Are there any penalties on the seller? does it affect the seller credit?

 

[ecmst12]

It really depends on what you work out with your lender. You would need personalized professional advice to move forward with this - talk to a realtor who is experienced with short sales.

 

[Ohiogal]

ok i googled it and I know what a short sale is. My other question stands. Are there any penalties on the seller? does it affect the seller credit?

Most likely your credit would be negatively affected AND you would owe the difference between the selling price and the mortgage(s) which you would pay back by way of a personal loan.