Short sales are becoming a new alternative for people who fear foreclosure, and bankers now seem more willing than ever to negotiate. A short sale involves telling a lender your financial situation and asking that he or she accept less than you owe based on what you're able to pay. It's a long process involving a lot of paperwork and negotiation, but officials say that federal initiatives, which will come into effect April 5, will make this process easier for both parties.

The Baltimore area has had an epidemic of foreclosures, but officials hope the initiatives will combat the situation. With these initiatives, mortgage holders will receive $1,500 for signing over their property, and mortgage servicing companies will receive $1,000 for handling successful short sales.

If you or someone you love is facing foreclosure, modifying your mortgage may prevent you from having to file for foreclosure. To learn more, contact the Maryland mortgage modification attorneys of Chaifetz & Coyle, P.C., today by calling 443-546-4608.