Losing your home to foreclosure may be one of the biggest personal and legal challenges you may face in your lifetime as a homeowner. 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. Basically, foreclosed homes are real estate properties whose owner failed to make the mortgage payments. It happens when the titular owner fails to provide payments for the loan amortization to a lender. It also occurs when the mortgage borrower also fails to pay the real property tax mandated by the government.
Some homeowners enter into a“short sale.” A short sale before home foreclosure involves selling the house below market price. Prior to putting the house on the market, the owner reaches an agreement with the mortgage lender – that any difference between sale proceeds and the outstanding loan will be forgiven by the lender, in accordance with the National Short Sale Center policy.
To know more about how a “Short Sales” works, we detailed below some tips on how to sell your home before foreclosure:
Here, the mortgage lender prepares 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 from the sale.
Review the contract closely. Consider retaining a lawyer to review the agreement with you. Make absolutely certain you understand all terms in the contract.
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.
Remember, each case is different, and the details surrounding the case will play a role in how long the process will take to complete. 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.
Finally, get in contact with an experienced real estate agent if you want to do a short sale before home foreclosure. CPD Homes is a Cleveland, Ohio based company here to help homeowners out of any kind of distressed situation. Whether you are a struggling landlord, or just want a sound investment yielding significant ROI, we are here to help. Our mission is to enable our clients and partners to preserve wealth through offering impeccable customer service and advisory services. As investors, we are in business to make a modest profit on any deal, however we can help homeowners out of just about any situation, no matter what! There are no fees, up front costs, commissions, or anything else. Just the simple honest truth about your home and how we can help you sell it fast to resolve any situation. Our slogan is Community – Pride – Development, so we are looking to help the areas we love by focusing our attention on creating the best outcome for both our business, investments, partners and clients.
Call us now at 216-282-4332, or visit www.cpdhomes.com to know more of CPD Homes’ services! We’ll be more than happy to assist you!