Ask your realtor “Hey, what are houses in my area selling for?” I’ve seen people who bought a house for $ 500,000. Guess what’s it selling for today? $ 300,000.
If your house has had a 40% drop in value, then you shouldn’t be paying a mortgage payment based on a value of $ 500,000. You should be paying a mortgage payment based on a value of $ 300,000. Make sense?
Here’s how to find calculate you should be paying. Google “amortization calculator.” Type in what your home is currently worth. Enter the interest rate you were originally paying.
Look at the example numbers below.
* A $ 500,000 mortgage at 6% interest is a monthly payment of $ 2,997.75.
* A $ 300,000 mortgage at 4.5% interest is a monthly payment of $ 1,520.06. Remember, interest rates have dropped a bunch lately.
It looks to me like this person is overpaying by $ 1,477.69 a month. Ouch!
Run the numbers for your house. If your lender forecloses on your house, then it’s not necessarily going to sell for the market value. Most foreclosed houses often sell for 85% to 95% of the value today.
Remember, knowledge is power. When you have this information you have a much better negotiating position with your lender.
You can say “Hey guys, foreclose on my house. But, be prepared to lose a ton of money.” Thinking about a short sale?
I can help you short sale your property and get back on your feet. Send me an e-mail at email@example.com. I will contact you for a free consultation.
When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at (919) 606-8751
Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.
Thinking about a loan modification? Our Raleigh loan modification kit has the instructions you will need to get a loan modification approved with your bank. Click here to request a copy.
Thanks for reading this, Ken Smith.
Ken is a Real Estate Broker at Goldens Realty. Raleigh Short Sales Realtor:
Phone: (919) 606-8751 . firstname.lastname@example.org.
Friendly, loyal, intelligent service!
View My homes for sale at www.GoldensRealty.com.
Ken Smith specializes in loan modification assistance and short sales in Raleigh North Carolina. Raleigh Loan Modification Help, Raleigh Short Sales. Raleigh Short Sale Realtor. Raleigh NC Short Sales. Raleigh Realtor.
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