Top 5 Reasons You May Need To List Your Home

Real estate stats have always shown home sales rising during summer and spring but dwindling during winter and autumn months. If you’re still on the fence about listing your home before the winter months, you may need to act fast because of the following reasons:
  1. Equity advantage

Due to recent market upswings in the Virginia real estate market, your home already has more value. It’s time to take advantage of the gains in equity and list your home now.

  1. Your house is too small

You’ve grossly outgrown your present home — either you had two more kids or an older parent has shifted in. If you are in a home that’s too small for your immediate (and future) needs, this is the time to consider the jump to something somewhat larger. Sale prices are solid, and you could take advantage of current interest levels before they start climbing.

  1. Incredible shrinking family

Empty nesters need to consider downsizing. It’s not fun to have to manage a big house with all its daily responsibilities, cleaning and maintenance. Downsizing now will mean less stress and a better lifestyle.

  1. Interest rates could start a fire

Interest rates are going nowhere but up, so if you are wondering when could be the best time to get a good mortgage rate on a new home?, the answer is now. Rates are currently at historic lows and are not likely to go anywhere but north in the foreseeable future. Sell now, buy and get these low rates for the long term.

  1. Sell if you want to, don’t run after the market

Not ready? Don’t rush it. If you are dealing with job change, divorce, children, medical issues, marriage, etc., and you should sell your present home right now (or don’t have enough time or energy to really get your home in market-ready condition), don’t make an effort to chase the market, run at your own pace.

However, the market still determines your real estate experience. If prices are high, you buy high and you sell high. So, you still need to consider the market whenever you do decide to sell. The bottom line is, list your house when you need to, price it right and move on.


How To Sell a House in Foreclosure

For many people who find themselves in the ‘foreclosure’ situation, asking the right questions is crucial and one very important question to ask is, Can I sell my house in foreclosure? And if so, sellers in distress need to understand how to sell a house in foreclosure. As long as the bank hasn’t put up a for-sale or auction sign on your home, your house is still yours to do with as you please, no matter the equity loss. So it is possible to sell a house in foreclosure.

Hence, it is not a wise option to let your house go into foreclosure, which would take many months or even years to complete. So, how do you sell a house in foreclosure? Try a short sale. Lenders prefer a short sale to a foreclosure and would be eager to respond if you have an experienced agent by your side. Here are the steps to take:

  1. Meet with your lender to discuss the possibility of a short sale. Know that if you don’t default on your loan, your short sale request won’t be approved. Meet with a decision maker in your bank and let him/her know the reason why you need to do a short sale.
  2. Recruit an agent and a legal professional to assist with the sale. Although money is limited, using specialized help will profit you over time. Unless you have the funds to pay them in advance, discuss the opportunity of paying them from the sale proceeds.
  3. Set a price. You want a price as near the money you owe on the mortgage as possible, in addition to the agent’s percentage and other sales costs, but that may well not be possible in a fragile market. Speak to your agent about what you can expect realistically, then put the house on the market.
  4. Present a price to the lender. Present the top bid on the house to the lender for approval. This will be a better option than foreclosure because in a foreclosure auction, the top bid may be way below the value of the house but the lender accepts it anyway since he has to make a sale. Present a good price to the lender and then.
  5. Talk with your lender about a deficiency judgment. Be sure to clarify whether or not your lender will come after you for the deficiency on the short sale. Your real estate agent will help you negotiate this.

5 Expert Tips for Selling Your Home

A short sale is a negotiation between you and your lender to sell your home for less than what is owed. Since you may not be an expert at negotiating with a lender. Here are a few expert tips for short selling your home:
  1. Know your mortgage balance(s)

The first thing you need to do is find out how much you owe and how much your lender is willing to forfeit. Since the lender is taking a loss, it will set the selling price of the home. If you took two mortgages from different lenders, each lender has to approve the mortgage and set the price it’s willing to accept.

  1. Put together a short sale team

When you sell your home in a short sale, you need to assemble a team of professionals to help you walk through the process. First, hire a real estate agent who specializes in short sales, then a real estate attorney and tax advisor.

  1. Prepare your documents

A short sale needs your lender’s approval. Your lender needs to see why this is the way to go. Our short sale team are skilled in short sale negotiation. Having the right team along with the right documents will set up a smooth short sale process. Generally, the bank asks for the following documents:

– Seller’s hardship letter

– Authorization letter

– Last two bank statements

– Last two tax returns

– Last two pay stubs

– Purchase contract among others.

  1. Be Patient

Standing on your agent’s neck, seeking a fast reply doesn’t help the process. Short sales take months to complete. The bank takes their time before giving a reply. Which is conceivable, since they are accepting to lose some money, it takes time to find a buyer and close the deal. So, just be patient and work with your real estate agent

  1. Expect Demands and Requests

Get ready for the worst, but expect the best. There’s a whole lot of backwards and forwards between you, your team of experts and the lending company. While dealing with a team of experts really helps to make sure your short sale package is well-organized, the lender will make additional needs and demands. Reply to and submit the information at the earliest opportunity so as not to delay the process.

So, if you’re trying to ditch a home you can’t afford or fighting a foreclosure, a short sale offers a way out. However, it won’t be a smooth ride, hence you have to prepare for everything and have a good team working for you.