Behind on Your Mortgage? What to Know About Short Sales

As the real estate market shifts, some homeowners face financial challenges, and short sales are back in the conversation. If that describes your situation, the most important thing we can tell you is to take action early.

Short sales are climbing again. Nationally, short sales have ticked upward each year since 2023, and the pacerose 16% year over year in early 2026. Here in the Bay Area, that percentage is running even higher.

A short sale doesn’t require foreclosure. You don’t need to be in foreclosure for a short sale to be an option. Every situation is different, so your lender will review your circumstances on a case-by-case basis. In some cases, a short sale is the best fit. In others, a loan modification or another option may work better. A short sale is one of several options, and the lender will identify the right one based on your situation.

Know the early warning signs. Your finances may have shifted, someone in the household may have lost a job, or you may be starting to fall behind on your mortgage payment. Any one of these is the moment to slow down, contact your lender, and work toward a solution that could help you avoid a short sale or foreclosure altogether.

Waiting narrows your options. The longer a homeowner waits, the fewer options remain. If a short sale may be part of your path forward, open that conversation with your lender as soon as possible.

Your lender comes first. The very first call should go directly to your lender. If that feels like uncharted territory, you can call us. There’s a real process involved, and we’ve helped homeowners work through it before.

You don’t have to pay for help. Calling a lender can feel intimidating, especially when money is already a source of stress. Beyond our team, counselors can also assist you, and there are several ways to get from point A to point B. Scammers are a serious concern right now because they actively look for homeowners in financial trouble who don’t know where to turn and may pay anyone who offers help. Before you talk to anyone, remember you don’t have to pay for assistance.

Above all, take action. If you sense a problem, call us, and we’ll help you work through this unfortunate situation. Call us at 510-500-5428, email us at info@spiveydaniel.com, or visit spiveydanielrealestategroup.com. We’re here whenever you’re ready to talk.