Do you need 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. This could be due to many factors, but commonly is a result of a rapidly declining housing market.
For many homeowners, a short sale is an ideal way to prevent foreclosure or bankruptcy when they can negotiate with the lender to write off the difference.
The process of a short sale...
First, find out the true market value of your property. Since hiring a licensed appraiser may not fit your already tight budget, a qualified local real estate agent that knows the current conditions of the Tampa real estate market is a smart way to get a realistic idea of your home's value.
Next, calculate your closing costs. My work in this area has taught me to take into account fees including title report, appraisal, escrow, property taxes, and agent commissions to calculate your final costs at closing.
Finally, contact your lender and let them know of the situation. They may even have a dedicated department that handles short sales. Ask about their particular steps. Some lenders will be more able to work with you than others. They may be able to reduce the amount owed or make other arrangements. Your lender will have to approve the final sale.