Are you ready to short sell your home?
What is a short sale? A short sale happens when the value of a home is less than what is owned. This can be caused by many factors, but most often is a result of a rapidly declining housing market.
For many homeowners, a short sale is preferential to foreclosure or bankruptcy when they can negotiate with the lender to forgive the difference.
What's involved in a short sale?
First, determine the true market value of your property. Since paying for a licensed appraiser may not work with your already tight budget, an experienced local real estate agent that knows the current conditions of the Jacksonville real estate market is a smart way to get an accurate estimate of your home's value.
Next, calculate your closing costs. My work in this area means I know to take into account fees including title report, appraisal, escrow, property taxes, and agent commissions to tally your final costs at the closing table.
Finally, call your lender and tell them of the situation. They may even have a dedicated team that manages short sales. Ask about their specific steps. 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.