Sometimes you find yourself between a rock and a hard place trying to make ends meet. It's not always clear what the option is but it's clear something needs to change.  Knowing your options is key.When you need to sell your home, but you're not quite sure you can sell and pay off the mortgage, in most cases a short sale is the direction you can go, but contrary to popular belief there are many alternatives to short sales.

Loan Modification - or "Loan Mod" are agreed changes in your loan to make the payments more affordable, in most cases borrowers get a probationary period in which to make modified payments, if a payment is missed during this period the modification fails.  Loan modifications are largely unregulated by the FTC with minimal oversight and the arena is prone to scams.  Get a referral from a trusted source before entering into a loan modification.  Most people we work with become frustrated with the unorganized fashion in which the banks operate and then are ultimately denied for the loan mod, thus we recommend you investigate, but keep an open mind.

Foreclosure - an option anyone with a loan has is to allow their property to go into foreclosure.  The foreclosure process begins when the bank notifies you that they are no longer going to wait for you to make your payment.  In Washington State the foreclosure process takes 180 days (6 months).

Stick it out - If you aren't behind and CAN make your payments, you can stick it out.  Some feel it's better to strategically default on a property rather than spend the next decade waiting for prices to return, after all a 1,000 payment over 10 years is $120,000 in mortgage payments.  To find out more about how long it will take to recoup your losses, find out what your home is worth.