How to Sell Your Home Before Foreclosure

How to Sell Your Home Before Foreclosure


How to Sell Your Home Before ForeclosureOne of the biggest personal and legal challenges you may face in your lifetime probably is about losing your home to foreclosure. Worrying about what can help you to avoid a foreclosure is another thing. One alternative is developing a plan of action to sell your house before you are sued in a foreclosure case. Some homeowners in your position pursue what is known as a “short sale.” A short sale involves selling the house below market price. Prior to putting the house on the market, the owner reaches agreement with the mortgage lender that any difference between sale proceeds and the outstanding loan will be forgiven by the lender, according to National Short Sale Center.

We detailed below how to sell your home before foreclosure:

COMMUNICATION

Write a letter to your mortgage lender explaining your desire to avoid foreclosure and sell your home. State that you believe the best way to accomplish this goal is through a short sale. Ask the lender whether a short sale is acceptable. Many lenders prefer losing some money on a short sale rather than spend what can amount to more money pursuing a foreclosure.

DOCUMENTATION

Request that the mortgage lender prepare a standard agreement that addresses the proposed short sale. The contract contains a specific provision establishing the bottom-line reduced sales price on the property. The contract also includes a provision stating that the proceeds from the sale of the real estate will fully satisfy your obligation under the terms of the loan. You are not responsible for any deficiency. A deficiency is the difference between outstanding balance on the mortgage loan and the money brought it from the sale.

REVIEW

Review the contract closely. Consider retaining a lawyer to review the agreement with you. Make absolutely certain you understand all terms in the contract.

LIST

Place the home on the market for sale, at the reduced price agreed to with the lender. Because the price is below fair market value, you enhance the chances that the property will sell sooner rather than later.

There are many options available to you, and selling your home may not be your ideal solution, but this could be the best way to provide the funds you need to pay off your current mortgage debt in full.

Remember, each case is different, and the details surrounding the case will play a role in how long the process will take to complete. And If you need to know more information on how to sell your home before foreclosure, you may call us at 216-619-4387 and CPD Homes will be more than happy to assist you!

 

Top 10 ‘FAST Home Selling’ Secrets  You Should Know!

Top 10 ‘FAST Home Selling’ Secrets You Should Know!

Before you get into the world of real estate property selling, you must read this fast home selling secrets every...
Read More
25 Best Things To Do When In Cleveland

25 Best Things To Do When In Cleveland

Lover of art museums and culture?  Cleveland has you covered at the Cleveland Museum of Art. More interested in the...
Read More
5 Ways Moving To Cleveland Could Improve Your Life

5 Ways Moving To Cleveland Could Improve Your Life

Cleveland is a diverse community, a true melting pot nestled on the shores of Lake Erie. You don’t have to...
Read More
Reasons Why Dealing With An Investor  Is The Best Option To Sell Your Home Fast!

Reasons Why Dealing With An Investor Is The Best Option To Sell Your Home Fast!

Selling a house is not always that easy, especially if it is your first time. The traditional route of selling...
Read More
Moving Home For A Better Millennial Life? These Seven (7) Reasons Will Make Your Move To Cleveland!

Moving Home For A Better Millennial Life? These Seven (7) Reasons Will Make Your Move To Cleveland!

Are you a Millennial looking for a place to settle down?  Look no further than moving to Cleveland!   Cleveland, Ohio...
Read More
Top 4 Benefits of Turnkey Real Estate Investing

Top 4 Benefits of Turnkey Real Estate Investing

Many savvy entrepreneurs believe that the best way to earn significant profits over time is by investing in real estate. ...
Read More
A Quick Look at Cleveland’s Real Estate Stats & Trends Amid 2021 Pandemic

A Quick Look at Cleveland’s Real Estate Stats & Trends Amid 2021 Pandemic

Cleveland is ranked as one of the top housing markets to watch in 2021 by Forbes. The affordability of single-family...
Read More
Tricks & Tips on House Flipping for Fast Home Selling!

Tricks & Tips on House Flipping for Fast Home Selling!

Basically, the term "house flipping" is used by real estate investors to describe the process of buying, rehabbing, and selling...
Read More
Top 6 Passive Income Sources from Real Estate Investment

Top 6 Passive Income Sources from Real Estate Investment

Passive Income is a form of income received on a regular basis with minimal effort on the investors part. Being...
Read More
Looking For The Best Real Estate Agent To Sell Your Home – FAST? Check Out These Guidelines!

Looking For The Best Real Estate Agent To Sell Your Home – FAST? Check Out These Guidelines!

Finding a realtor and choosing the right agent to sell your home fast is not as simple as you may...
Read More

Follow by Email
LinkedIn
Share
Youtube
Youtube
Twitter
Visit Us
Follow Me

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Top