Are you ready to short sell your home?
Not sure what a short sale is? A short sale happens when the value of a home is less than the amount of the outstanding loans. Short sales are usually caused by prices in a market rapidly deflating.
For many homeowners, a short sale is an ideal way to prevent foreclosure or bankruptcy when they can get the lender to forgive the difference.
What's involved in a short sale?
First, figure out the true market value of your house. For those whose finances are already pushed to the limit, engaging a licensed appraiser may not be an option. Therefore, an experienced local real estate professional that knows the current conditions of the Guerneville real estate market is a smart way to get a reliable idea of your home's worth.
Next, be sure to figure in your closing costs. My experience has taught me to account for 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 specific department that oversees short sales. Ask about their exact steps. Some lenders will be more inclined to work with you than others. They may be able to lessen the amount owed or make other arrangements. Your lender will have to agree to the final sale.