Is it time to short sell your home?
Not sure what a short sale is? A short sale happens when you owe more than what the house will possibly sell for . This situation is often the result of prices in an area rapidly declining.
Short sales may be a way for homeowners to avert foreclosure and get out from under their loan with the lender by settling.
How do I proceed with a short sale?
First, get an idea of the true market value of your house. A qualified real estate professional, like D'Addio Realty, will be able to give you a reasonable idea of what your house would likely sell for based on prior sales of similar houses in the area. Watch out for websites where a computer estimates your home's market value since they may not have complete information or know important things like neighborhood trends and current listings.
Next, be sure to figure in your closing costs. My experience has taught me to account for fees like title report, appraisal, escrow, property taxes, and agent commissions to tally your final costs at closing.
Finally, call your lender and make them aware of your situation. They may even have a particular team that handles short sales. Ask about their exact procedures. Some lenders will be more inclined to work with you than others. They may be able to decrease your loan principal or make other arrangements. Your lender will have to give consent for the final sale.