In today’s changing real estate market, many homeowners are facing the very real possibility of foreclosure or even bankruptcy. But if you’re faced with losing the home you love, it’s definitely not the end of the world. There are ways to get out of your financial difficulties and actually sell your property before the bank swoops in. There are also several strategies to successfully sell your house quickly. First and foremost, you have to find a good agent. This doesn’t mean that just any agent will do. You have to find an agent who has the expertise to help you price your home effectively. There also needs to be a strategy for marketing your home. The longer your home stays on the market, the lower its value becomes to buyers. A few dollars on top of lower listing prices aren’t enough to entice buyers now. You will also need to do a great job of marketing your home online. There are many free websites out there, but they are not very effective for a variety of reasons. The more marketing you can do, the better. You also need to find a way to make your home clean and highly priced so potential buyers will want to check it out.
Once you find a buyer, you need to negotiate who pays the closing costs. Because mortgage rates are so low right now, your buyer may be able to cut closing costs by more than $2,000. But remember, you’re asking buyers to make a considerable financial investment. They won’t be willing to do that unless they’re very comfortable doing so. You can offer to pay a portion of the closing costs, or a flat fee that will be paid at closing. Another strategy is to ask buyers to take out a loan that covers the amount of their down payment, the closing costs, and a small percentage of the loan amount to cover escrow and other charges.
If you have one of those appliances or even a down payment saved, try offering a higher price for the end unit. If you don’t, you may actually have to lower the price of the house overall to entice them into buying it. Another way to improve your chances is to offer owner financing. This can be true if your mortgage is federally insured or if many people in your community are seriously buying
Low interest rates to interest rate equals 2.5 way better than the current rate. If you still owe a ton of money on your current home, that may work for a short-term fix, but homeowners are taking out 40-year mortgages at these low rates with no equity. That’s because there aren’t many people buying a house for a traditional 30-years salary.
It’s not not great news for buyers. But it’s the best news for sellers. Rates this month have been as low as 5.375%. This is the same low the average seller is getting. Make sure to ask the lender about the rate lock for the real estate agent. The seller will be responsible for paying the real estate fee, but the lender will be responsible for extending the loan back out for a long time. Even with the low interest rates, you can have a short-term hold on your property if you get the loan locked at the low offered rate.
Many homeowners use their retirement funds to purchase their home. When these funds are accessible, homeowners are able to withdraw a large amount of cash. But instead of using the money to make improvements or pay off credit card debt, the money can go into a retirement account where it earns a very low rate of return, but earns you tax-deferred dollars, if you ever need them.
The current environment for buying and selling homes is awesome, but cash is scarce. Make sure you’re prepared for the worst-case scenario and the best-case scenario for your situation. Plan ahead, negotiate carefully, and stay315 days ahead of the mortgage sometimes to stay ahead of the competition.