Is it time to short sell your home?
Not sure what a short sale is? A short sale occurs when you owe more than what the house is worth . This situation is typically the result of prices in an area rapidly deflating.
For many homeowners, a short sale is preferential to foreclosure or bankruptcy when they can negotiate with the lender to write off the remainder of the loan.
What steps do I take in a short sale?
First, assess the true market value of your house. For those whose finances are already stretched, paying a licensed appraiser may not be feasible. Therefore, a qualified local real estate agent that knows the current conditions of the Fort Walton Beach real estate market is a sound way to get a realistic opinion of your home's value.
Next, calculate your closing costs. My experience has taught me to account for fees such as title report, appraisal, escrow, property taxes, and agent commissions to estimate your final costs at the closing table.
Finally, contact your lender and make them aware of the situation. They may even have a specific department that handles short sales. Ask about their particular procedures. Some lenders will be more inclined to work with you than others. They may be able to reduce the amount owed or make other arrangements. Your lender will have to agree to the final sale.