Do you need to short sell your home?
Not sure what a short sale is? A short sale occurs when the amount of the outstanding loans is greater than the amount for which the home could sell. This situation is usually the result of home values in a market rapidly deflating.
Short sales can be a way for homeowners to preclude foreclosure and get out from under their loan with the lender by settling.
What steps do I take in a short sale?
First, assess the true market value of your property. A good REALTOR®, like Lake Country Real Estate, Inc., will be able to give you a realistic idea of what your property should possibly sell for based on a market analysis. Beware of websites where a computer estimates your property's market value since they may not have complete information or know important things like neighborhood trends and current listings.
Next, find out your closing costs. My experience means I know to account for fees including title report, appraisal, escrow, property taxes, and agent commissions to calculate your final costs at the closing table.
Finally, get in touch with your lender and notify them of your situation. They may even have a dedicated team that manages short sales. Ask about their specific steps. Some lenders will be more willing to work with you than others. They may be able to reduce the amount owed or make other arrangements. Your lender will have to give approval for the final sale.