A short Sale is when you owe more to the bank than your house is worth. Which means if you want to sell your house, you need to take money to the table to close it.
For example: You owe $750,000 on your home but the market only values your home at $675,000, in a normal transaction you would need to bring the short fall ($75,000) to the closing table.
This is where the Short Sale comes in. We bring all the information to the lender and get them to accept less than what is owed in order to satisfy the outstanding loan. This allows you to sell the house at the lower value.
*Depending what state you are in this may be a taxable event for you.
What is the difference between a Forbearance and a Deferment?
Both allow you to temporarily postpone or reduce your federal student loan payments. The main difference is if you are in deferment, no interest will accrue to your loan balance. If you are in forbearance, interest will accrue on your loan balance.