Frequently asked questions

Not automatically. Only your lender can postpone or cancel a foreclosure sale. Starting early gives you the most options, so reach out as soon as you can.

No. The lender decides whether to approve a short sale. We'll prepare a complete package and advocate for you, but we can't promise an outcome.

No. We charge no upfront fees: we're paid at closing, typically by the lender.

Usually about 2 to 6 months, depending on your lender and situation.

In many cases, yes, until closing. We'll discuss timing with you.

It depends on your lender's approval terms and Texas law. Ask your lender about a deficiency waiver and consult a Texas attorney or CPA.

You may still qualify if you're facing a hardship. Talking early is often best.

Yes. We keep your information private and only share it with your permission as needed to work on your sale.

It's a very natural question, and understanding the difference can help you feel more in control. Here's a general overview.

Credit: Both usually lower a credit score, often by 100 points or more, and both typically stay on a credit report for 7 years. A short sale is often reported more mildly, as a debt settled for less than the amount owed.

Buying a home again: After a short sale, conventional loans often require a wait of about 4 years (sometimes 2 years with documented extenuating circumstances), and FHA or VA loans about 3 years, or sometimes less if payments were kept current. After a foreclosure, the wait is usually about 7 years for conventional loans, 3 years for FHA, and 2 years for VA. Rules vary by lender and can change over time.

Remaining balance (deficiency): With a short sale, a written waiver of the remaining balance may be negotiated as part of the lender's approval. After a Texas foreclosure, the lender generally has 2 years to file suit for the shortfall, and the borrower may be able to ask the court for a fair-market-value offset.

Taxes: In either case, forgiven debt may be treated as taxable income. Exclusions, such as insolvency, may apply. A CPA can help you understand your situation.

Control and timing: With a short sale, you choose to sell, you can plan your move date, you may qualify for relocation assistance, and you avoid a public auction. A Texas foreclosure can move fairly quickly, often about 2 months from the first notice to the trustee sale, and may end with an eviction if the home isn't vacated.

Work and licensing: A foreclosure can come up in security clearance reviews and in some finance or professional licensing reviews.

Getting started: A short sale needs your lender's approval and usually takes time, so starting early, ideally before a sale date is posted, can help keep more options open. We can't promise an outcome, but we're glad to talk through your situation with you.

This is general information, not legal, tax, or credit advice. Please consult your lender, a CPA, and a real estate attorney about your situation. A HUD-approved housing counselor can also help at no cost.