Being upside down on your mortgage doesn’t mean you can’t sell your house and pay off your mortgage. Find a real estate investor to help you create a short sale proposal to the bank.
Mortgage Help – Chalmette Louisiana: Being upside down on your mortgage doesn’t mean the end of your good credit or your ability to sell the house on your own without an agent. Upside down is common these days. It has been a circumstance created by the vast number of foreclosures and thus the huge numbers of homes on the market. That has driven down home values, making it a definite buyers’ market, meaning the houses are now much less expensive. To the seller and homeowner alike it means that your house is no longer worth what it once was.
Take an example of this concept from the collection of baseball cards and memorabilia. Where there are just a few thousand cards honoring one common player, those cards are worth a particular amount according to the market. If that player then wins a Golden Glove award one year, his cards increase in value. As he becomes a better player and more popular with fans, the manufacturer of the baseball cards increases production and now there are a hundred thousand cards for this player. The value decreases once again, making it better for buyers than sellers as the cards that were once for sale at $.25 a piece are now worth only $.08 apiece. The housing market is similar as the values go up and down according to demand and saturation within the market.
There are real estate investment specialists that buy houses and help the sellers to establish a relationship with their lender, hoping to formulate a short sale agreement or other solution to the upside down mortgage
If your house is now worth $375k on the market but you still owe $397k on the mortgage, you are considered ‘upside down.’ Wanting to sell and pay off your mortgage to purchase a less expensive home, perhaps, or just to be relieved of the burdensome mortgage, you’ll have to come up with the difference between what you sell for and what is owed.
There are real estate investment specialists that buy houses and help the sellers to establish a relationship with their lender, hoping to formulate a short sale agreement or other solution to the upside down mortgage. Many lenders are willing to forgive part or all of the difference between the sale price for the house and the money still owed on the mortgage. In many cases the seller will still be liable for the taxes on the forgiven amount, as the IRS considers it income. If you are upside down on your mortgage and want to talk to someone who can help to set up a short sale with your lender, find a real estate investor that deals with short sales in your area.
Like this post? Subscribe to my RSS feed and get loads more!