Short Sales vs. Foreclosures: What's the Difference? A short sale is a voluntary process. When the homeowner sells the property for an amount that is far less than what is owed on the mortgage, it is called a short sale. A foreclosure, on the other hand, is involuntary. In this case, the mortgage holder (the lender or the bank) takes legal action to seize the home after the borrower fails to make a specific number of monthly payments. In a foreclosure, the lender takes ownership of the mortgaged property and sells it to recover the amount owed to them on the mortgage.
This course provides students with a deep understanding and knowledge about Short Sales, Foreclosure, and their impact on real estate clients. Participants will gain the necessary knowledge to improve supervision of brokers working with distressed homeowners by understanding the process of short sales and foreclosures.