Short Sale is better than walking away! What is a short sale you ask? Well A short sale is simply selling the house for less than you owe. How you do that is the question?
Another great question came in recently that is worth sharing. This is one of those situations that if you wait around for something to happen and nothing does you really end up in a world of hurt.
I have a nice home in (USA) ……..We moved out and bought a home in (Sunny USA) with no money down. We rented the home in (USA) but the renters are unable to make their payments so we have to pay about $1,000/ a month to cover the first and second mortgages which totao about $2100 a month. I am retired and 77 years old but I had to find a job in order to pay the mortgages which total about $500,000 on both homes. The job I got is temporary and will end in 5 weeks. When we learned the tenants (close relatives) could not meet their obligations we listed the home with a realtor who sold us the home about 3 years ago. However since the first week in January only 2 paries have looked at our home. The realtor has advised us to lower the price which we did in 2 steps, $10,000 in April and a second drop of $10,000 to be done in May.
…………… Any further reductions in price would put us in a short sale situation. I do not believe our realtor knows anything about short sales, at least she has not even broached the subject.
Our payments are current and we have real good credit. It appears that the tenants will be leaving very soon and we would then have to pay the full amount of the 2 mortgages while waiting for the house to sell. That would be impossible very shortly as we invested all of our capital and debt in the improvements to our ….. home.
What would you suggest?
My Comments ——-
I have one thing to say….. Fire that Agent FAST!
If she isn’t ready to do whatever it takes to get your home sold, including a short sale I think it’s best you find someone who will. Every area around the country has that one agent who specializes in Short Sales. They will have a system in place with people to do their negotiations making the process as seamless as possible. Be sure to do all your paperwork upfront and not wait because most of the time the sellers hold up the process in the beginning causing it to last 60 days plus.
QUICK, Call your agent now and tell them to Short Sale your home and to price your home as the lowest price property in the neighborhood. No reason to keep attached to the value because if you do attach yourself to it your will lose your credit and your cash in the process….. You tell me what is more important, your attachment to the value or your credit and your cash? The lower the price, the more offers you will get.
I hope it works out for you!