Do you need to short sell your home?
Not sure what a short sale is? A short sale occurs when the value of a home is less than what is owned. Short sales are usually caused by home prices in a market rapidly declining.
Short sales could be a way for homeowners to avoid foreclosure and get out from under their loan with the lender by settling.
What's involved in a short sale?
First, find out the true market value of your home. If your finances are already pushed to the limit, engaging a licensed appraiser may not be an option. Therefore, a qualified local real estate agent that knows the current conditions of the Delray Beach real estate market is a smart way to get an accurate idea of your home's worth.
Next, calculate your closing costs. My work in this area has taught me to consider fees such as title report, appraisal, escrow, property taxes, and agent commissions to tally your final costs at the closing table.
Finally, contact your lender and notify them of the situation. They may even have a dedicated team that oversees short sales. Ask about their particular procedures. Some lenders will be more able to work with you than others. They may be able to reduce your loan principal or make other arrangements. Your lender will have to agree to the final sale.