With many people unemployed in this bad economic time, many homeowners find themselves unable to keep up with their regular mortgage payments. Some people have low rates but, without employment, they still cannot keep up. Some homeowners have adjustable rate mortgages and find their home payments adjust to outrageously high amounts. Many homeowners cannot afford to stay in their current homes so they should sell and move on. The problem is that, with falling real estate prices, they also find themselves having upside down mortgages. That means, they owe the banks more than their homes are worth. So, what are their options?

Should Homeowners Sell Their Homes?

The first thing to do that comes to mind for lots of homeowners is to sell and move on. The problem is that, if they were to sell their homes, they are going to get less for them than what they owe the mortgage companies. So, selling may not be the best option. However, it is a good idea to consult a Realtor to make sure that there is not a way to sell and walk away free and clear without having to come up with the rest of the money for the mortgage balance later on.

Choosing to Refinance

Often when you owe more than your home is worth, banks will not lend. However, there may be options that allow you to refinance your home or modify your loan since the rates are very low right now. If your credit is good and want to explore the option of refinancing or have any home loan questions, call your bank as well as other mortgage companies for comparison. Sometimes, your own lender may not be able to help you but other banks may be able to.

Debt Relief After Foreclosure

Lots of homeowners cannot sell their homes, cannot refinance and cannot modify their loans. Then their mortgage companies try to foreclose on them. Foreclosure severely hurt your credit so it is wise to call your bank and try to negotiate with them before they foreclose. If they do go ahead with foreclosure, however, there is the Mortgage Forgiveness Debt Relief Act of 2007 that will work on your side. This Act allows taxpayers to exclude income from the discharge of debt on their principal residence. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualifies for the relief.

While the author specializes in Moses Lake Real Estate, the information presented here applies to all locations.

MAKING SMART PRICING DECISIONS

Proper pricing of your house is one of the most critical decisions you will make when selling your property.  Some sellers want to price their home based on the return they would like on their initial investment, while others base the price on what they need to buy their new home.  Location, condition, and accessibility are three other variables that affect the price of a property. 

It is crucial to price your home correctly from the beginning because it will not sell if it is overpriced.Don’t make the mistaken assumption that you can simply reduce the price later once you have already lost numerous possible buyers.  A motivated seller keeps the price attractively low.

Current conditions in your local real estate marketplace will greatly influence the amount buyers are willing to pay for their home.  A professional Realtor will be able to guide you through the pricing pitfalls with a written market analysis that includes the selling prices for similar homes in your area.

PREPARING YOUR HOUSE FOR THE WALK-THROUGH

The movers have just pulled away from your house, leaving it totally empty–except for years’ worth of grime and dust.  If you don’t have the time or energy to clean your house for the new owners, you should consider paying a professional to do the job.

Before going to the closing table, your buyers will have a last chance to go through the house to check the appliances, fixtures and mechanical systems.Their goal is to make certain the house’s overall condition is in keeping with the sales contract.Although they may really want the house, they may be “worried” about the sale.

It is the little things that can trigger last-minute cold feet, so your best insurance is to make sure that the house looks great, everything is working properly, and all the agreed-upon repairs have been made.  Taking special care in preparation for the walk-through will help to promote a more relaxed atmosphere for the closing.

PRESENTING YOUR HOME

Ideally, a Real Estate Agent likes the properties they sell to appear flawless.However, even the most conscientious housekeepers find it hard to maintain the house in prime showing condition during the whole time the hose is for sale.

Keeping beds perpetually made, dishes washed, bathrooms spotless and closets neatly organized is a lot of work.  Is it worth it?  Yes – if you want your house to sell in a reasonable amount of time and for the best price.Buyers often interpret normal clutter as a house that hasn’t been maintained.” They see bathtub rings and imagine “plumbing bills.”  They see lint under the refrigerator and grease on the electric range and imagine having to replace all of the appliances.

When people make their final selection, they may be going on emotion and adrenaline rather than imagination.  You can help your agent by minimizing the amount of imagination the buyer will need to fall in love with your home.

If you would like to talk further about buying or selling Real Estate in Moses Lake, Ephrata or Soap Lake Wasington, please contact Moses Lake Realtor LeRae Redal at Moses Lake Realty Group or visit MosesLakeRealtyGroup.com.

There are many people who need to sell their homes nowadays. Some of the homes are grand and beautiful whereas some of the others are less attractive and are in dire need of some repairs. Depending on the state of your home and how much you are wanting to sell your home for, you may need different levels of renovation to get your home ready to be put on the market. Beautiful homes often sell for more money but only if they are in good shape. Homes that need major repairs upfront will be sold as fixer uppers and their prices will be lower when compared to homes that are move-in ready.

When to Renovate

There are three levels of renovation which you can do to your home before you put it on the market. You can do a complete renovation which will cost you much more money than other options but you can usually sell it for even more than what you put in. To spend less, you can choose to do a cosmetic repair which which is to repair as little as possible so that it will be move in ready. On the other hand, you could just stage your home. Home staging is becoming more and more popular because homeowners often find that staged homes sell faster. If there is absolutely nothing wrong with your home, then a home staging is a good option. But, if something needs to be repaired, it might be a more befitting idea to do some minor repairs first.

Good Pictures Go a Long Way

When you have renovated or staged your home and it is ready to be put on the market, it is time to decide if you want to find a realtor or sell your home yourself. Lots of people decide to sell by themselves and they then take beautiful home pictures to print out and show interested buyers. Homeowners can also upload their pictures of beautiful homes onto websites such as For Sale By Owner or FSBO so that any interested buyers can read about their homes and can contact them through these sites.