Is it time to short sell your home?
Not sure what a short sale is? A short sale happens when the amount of the outstanding loans is greater than the value of the home. This could be attributed to many factors, but most often is a result of a rapidly declining housing market.
Short sales may be a way for homeowners to preclude foreclosure and get out from under their loan with the lender by settling.
What's involved in a short sale?
First, figure out the true market value of your property. Since hiring a licensed appraiser may not fit your already tight budget, an experienced local real estate professional that knows the current conditions of the Fort Walton Beach real estate market is a sound way to get a realistic estimate of your home's worth.
Next, determine your closing costs. My work in this area means I know to account for fees including title report, appraisal, escrow, property taxes, and agent commissions to calculate your final costs at the closing table.
Finally, contact your lender and tell them of the situation. They may even have a dedicated department that oversees short sales. Ask about their particular process. Some lenders will be more able to work with you than others. They may be able to decrease your loan principal or make other arrangements. Your lender will have to agree to the final sale.