Need to short sell your home?
Don't know what a short sale is? A short sale occurs when the amount of the outstanding loans is greater than the amount for which the home could sell. This could be caused by many causes, but commonly is a result of a rapidly declining housing market.
For many homeowners, a short sale is preferential to foreclosure or bankruptcy when they can get the lender to write off the difference.
What steps do I take in a short sale?
First, figure out the true market value of your house. For those whose finances are already pushed to the limit, hiring a licensed appraiser may not be feasible. Therefore, a knowledgeable local real estate agent that knows the current conditions of the Tampa real estate market is the best way to get a realistic opinion of what your home could sell for.
Next, determine your closing costs. My experience has taught me to consider fees such as title report, appraisal, escrow, property taxes, and agent commissions to calculate your final costs upon closing.
Finally, call your lender and tell them of the situation. They may even have a special department that handles short sales. Ask about their exact procedures. Some lenders will be more inclined to work with you than others. They may be able to decrease the amount owed or make other arrangements. Your lender will have to agree to the final sale.