Do you need to short sell your home?
Not sure what a short sale is? A short sale is when you owe more than what the house is worth . This situation is often 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, figure out the true market value of your property. A good real estate professional, like McElroy & Associates, will be able to give you a good idea of what your home should possibly sell for based on a market analysis. Be cautious of websites where a computer estimates your house'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 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 tell them of your situation. They may even have a special team that deals with short sales. Ask about their specific procedures. Some lenders will be more willing to work with you than others. They may be able to lessen your loan principal or make other arrangements. Your lender will have to give consent for the final sale.