Do you feel like you are drowning, trying to keep up with the payments on your mortgage? It can be an overwhelming experience to see that you can’t make the payments, especially when your mortgage is under water. In this article, we will discuss Short Sales: An Answer to Being Underwater on Your Mortgage. If you owe more on the mortgage than what the house is worth, then we invite you to contact us at Duffy Realty of Atlanta.
A short sale might be the right solution that you are searching for, but it is important that you understand how this process works before you make the decision to short sell your home.
What You Need to Know About Short Selling a House
There are several essential factors that you need to understand before you determine if short selling is right for you. The best thing that you can do is talk with an experienced real estate agent who understands the short sale market, to help you get the most favorable outcome possible from the situation.
Here are a few things that you need to know:
- Mortgage Higher than Home Value: Is your mortgage higher than the value of your home? If you want to sell but the value of your home won’t be enough to pay off the mortgage, then a short sale is likely your best solution.
- Your Credit Score: Many people consider a short sale in an attempt to save their credit, but the truth is that short selling a house can still impact your credit score. You are often still better off by getting rid of the mortgage that you can’t pay, especially since late mortgage payments can also cause your credit to tank.
- Avoid Foreclosure: Are you worried about your home going into foreclosure? Having a foreclosure on your record can cause a negative social stigma, and this situation can be avoided by pushing through a short sale before the foreclosure happens.
- Buy Another Home: When you are ready to jump into home ownership again, it is easier to have a short sale instead of a foreclosure. When you short sell your home, you only need to wait for 2 years before you are eligible for a home purchase again. In comparison, a foreclosure requires a waiting period of 5 to 7 years.
As you can see, there are benefits to short selling your home, but you should also explore other options if they are available. Working with a trusted real estate agent is one of the best ways for you to proceed with the sale of your home.
Do you have questions about selling your home? Are you wondering if a short sale is right for your individual circumstances? Contact us at Duffy Realty of Atlanta for more information. Our expert team has plenty of experience with short selling a house, and we can help you make the right decision for your financial situation. Call us today at: (678) 318-1700
We hope you enjoyed this article on Short Sales: An Answer to Being Underwater on Your Mortgage.