If you’ve fallen behind on your mortgage payments, you might be hearing two terms over and over — foreclosure and short sale.
They sound similar, but they’re very different… and knowing the difference could save your credit, your sanity, and even some equity.
Here at Liberty Road Homes, we’ve spent years buying and selling homes in Kansas City, helping homeowners navigate tricky situations — from foreclosure and job relocation to bad tenants and divorce.
If you ever find yourself in a tough spot and need to sell your house quickly, we can make you a fair cash offer and even close in as little as two weeks. Call or text us at (816) 290-7004 to learn more.
But let’s break down the two paths you might be facing…
How They’re Alike
- Both happen when a homeowner can’t keep up with mortgage payments.
- Both can hurt your credit score, affect your tax situation, and make it harder to get a mortgage in the future.
- Both involve your lender and the property being sold for less than ideal circumstances.
How They’re Different
- Short Sale – This happens when your lender agrees to let you sell your home for less than what you owe on the mortgage. The lender forgives the remaining debt. It’s still a hit to your credit, but usually less damaging than foreclosure.
- Foreclosure – This is when the lender takes back your home without giving you control over the sale. It’s typically more harmful to your credit score and can carry heavier long-term consequences.
Why a Short Sale Might Be Better
If it’s possible, a short sale generally has less negative impact on your credit and finances than a foreclosure.
The best move? Call your lender immediately and ask about your options. If they allow a short sale, it’s often the better route.
Your Next Step
If you’re behind on payments and feeling the pressure, don’t wait for the bank to make the first move. Talk to your lender — and if selling your home quickly is the best solution, Liberty Road Homes can help.
We buy houses as-is in Kansas City and surrounding areas, pay cash, and can close on your timeline.
Call us or text us today at (816) 290-7004 or fill out our quick form to get your no-obligation offer.
About Liberty Road Homes
Thank you for visiting our blog. We’re proud Kansas City residents dedicated to purchasing off-market properties for cash without involving commissions. Unlike some ‘flippers’ or ‘investors’ looking to pay pennies on the dollar, we approach buying your home differently than everyone else…and we do that by LISTENING TO YOU.
We want to know, not just why you are selling, but what your goals are and how selling the house will help you reach them. We want to approach buying your home the same way we would as a friend or a family member. Our goal is to help create a scenario that is a win-win for everyone involved and everyone to end up better off than when they started.
This is what separates Liberty Road Homes from everyone else.
Liberty Road Homes is now BBB Accredited
