FastFlex Homebuyers Posts

What Are The Top Options to Sell My House Fast?

May 1, 2019 • Michael
sell houses fast.jpg

Plenty of stressed homeowners are looking for the secret to sell their house real fast. Whether is was a planned move or not, sometimes even the best of us end up scrambling to sell quickly.

If your reading this article, you may be someone along those lines. You are doing such due diligence here today…which is good. The article will specify the standard 3 ways to sell houses fast. Pick an option best for you once you have weighed the pro’s and con’s.

Whatever the situation is, you have become motivated enough to take quick and possible decisive action.

Hire A Top Notch and Motivated Realtor

You have a few options starting with simply listing your home with a top notch realtor and “pricing it right.” This is often the most popular way to sell a home and for good reason. A good realtor can typical help you obtain a value close to the other comparables in your neighborhood.

There is however, a common misconception that this is the only way to get a good or near full price offer on your home. To top it off, 6-7% of the sales price is typically gone to pay for the agents services. They have done their job if it sells. Everything from evaluating your home, making staging suggestions, listing it on the MLS and other public websites, held open houses. The also ensured that all the paperwork and sale contract were written up in fair and full disclosure.

Now, some houses are fast top dollar sales. They can be in a buyers hands in as little as 30 days if all goes real well. By the way, this is not likely to happen unless the buyers for your neighborhood greatly exceed the supply and everything is A1 in your home.

List Your House Up For Auction

If you do not have at least 30 days or more to work with, a realtor is not likely to be the best solution for you. They cannot make your buyer bring cash to the buyers table, sorry. You are simply are the mercy of the buyer’s lender preparing a traditional mortgage which requires a lot of additional red tape.

You could also put your house up in an auction. There are private auctions that can list your home. Locate them by doing a Google search. You can set a minimum price you will accept. Once bidding has reached that minimum, you will be under obligation to deliver your home. Homes in an auction are typically bought site unseen other than some pictures. You are not likely to get anywhere near full asking price and may be required to vacate your home faster than you would like. The buyers who enter these auctions are looking for a bargain. Don’t plan on getting fair market value even if your home is up to date and well kept.

Locate A Professional Home Buyer in the Area

The third option is to simply sell your home to a residential real estate investor; a professional home buyer. This is going to be the fastest and sometimes the most flexible option you have. This is especially true if you need to sell your home as-is and fast!

Be aware, some professional buyers only offer cash buyouts. On the downside, you will not get top dollar for a cash deal. They are investing in your home and must take it into inventory. From there they must update, resell, rent it out etc. and there are holding costs and liability risks involved.

If speed of closing is most important to you the majority of professional home buyers will have fast cash available and can close in less than a week. Find a one who is willing to listen your situation and timetable and provides a good solution for you.

Home buying companies may do rehab work or updates your home may require before marketing it to other parties. Sometimes they will simply sell their rights to the contract agreement with you by “wholesaling” their buying rights to another investor such as a landlord who is strictly in the rental business.

There are a few companies out there that offer some creative and often very financially beneficial ways for you to get a top price from your home even if you have limited equity. This is beyond the scope of the article.

The key is…only certain companies have a business model offering these terms. If you have limited or no equity in your home, cash buying only companies may not a good solution. You may end up owing your bank a lot of money to cover the balance of the mortgage on it. Look for the right kind of investor – one who can make you multiple types of offers for you to choose from.

Remember a key point here… a home buying business has to be able to make money in taking your home off your hands. They are taking on your risk, repairs, remodels and any the carrying costs involved to get the house earning a return for the business. If the real estate market goes down, the investor can really get stung. During the housing crisis for example, many many buy and hold home investors “perished.” (went out of business)

If you need to settle your affairs with your home in 30 days or less, you are going to come out best working with a professional home buyer you are comfortable with. They will have the resources and hopefully multiple programs on terms designed to get you close to what you house is worth.

Conclusion To Selling Houses Fast

It goes without saying some of this, but I will mention it anyway. Be sure to have your house in top shape if you are working with a realtor. It should be decluttered, staged and very clean to encourage a fast sale. No, it isn’t a requirement to update it so speak, just realize that more modern homes near you will go for a considerably higher amount. Understand that retail home buyers want to be able to visualize themselves living in your home before they will consider buying it. If it is cluttered and in disrepair and not manicured (grass and landscaping) nicely, that presents a psychological hangup for a “typical buyer.” A spic and span home inside and out will always sell quicker and for a higher dollar amount. It is well worth the efforts.

If you are unable to wait or cleanup and thinking “I want to sell my home as is and very fast, you would be advised to seek a professional home buying company. As-is purchases are common and you can walk away once you have closed with them.

If you have any questions or need any help, give us a call at 269-888-3245 or click the contact us menu and the top and go from there.

Why Sell a House to Cash Buyers?

March 21, 2019 • Michael

Making the decision to sell your home is one of the major decisions you will probably make in your lifetime. There are lots of options, between listing with a real estate agent, selling on your own, and the decision to sell a house to cash buyers. When you are going to do this it requires several different types of planning for the future. You will have some options in the way you want to sell your home. So why should you sell a house to cash buyers? Let’s see what that entails.

Why Sell To Cash Buyers?

why sell a house to cash buyers

The best way to decide to sell a house to cash buyers is to compare this to traditional home selling.

Listing the home Through the Real Estate Agent

If you go through a realtor the first thing that needs to be done is that it has to be inspected by this professional. The realtor will then do an analysis of the market in your area. After this, he will suggest a listing price. You have the final say as to how much you want to put the house on the market for.

Necessary Repairs

Your realtor may also suggest that you do some specific repairs before listing the house. You then need to make the decision as to whether it would benefit you financially to do this. It will also depend on whether you have the extra funds to put into the repairs.

Advertising and Promotion

Your agent will look after the task of advertising your home and promoting it to potential buyers. This means putting in on the open market. Interested parties will book appointments to see your home. Most likely there are other homes in your area that are for sale so your home will be competing against these.

Showings

Home viewings are one the biggest inconveniences. This is necessary when selling your home in the traditional manner. Some find this to be such a hassle that it answers the question as to should I sell my home for cash.  Viewings mean that several people will want to see your home at different times. You may have to leave the home for periods of time, so the agent can hold open houses. It means constantly having to keep the house clean and orderly.

The Negotiations

When a potential buyer is going to put an offer in it usually means some negotiations back and forth. This can take some time before an actual selling price is agreed upon. Many times during this process the deal falls through. The buyer may not be willing to pay the final price. Or, they may not be able to arrange financing.

The Paperwork

With the sale of a house with traditional methods, there is a lot of paperwork involved. Not only does the realtor have to prepare this, but you will also need a lawyer to help close the deal.

Selling a House to Cash Buyers

pros of deciding to sell a house to cash buyers

There is a good chance you may not even have to list your home. It may be that your home is in need of several repairs to bring it up to market value. If you take the option to sell a house to cash buyers then you most likely can take the “sell house as is” opportunity.

Do some checking in your area. You may find there are investors that are interested in sellers who want to sell a house for cash.  Your realtor may even be aware of someone who may be interested in this type of purchase. This means the cash buyer is prepared to buy the house in its current state.

Should I Sell My House For Cash?

Your personal situation will help you answer the question, should I sell my house for cash? You need to know the reason that you are selling in the first place. It could be that you have run into financial difficulties. Or perhaps your job requires you to move to a new location. Another reason may be that the house is in bad need of repairs and you don’t have the extra money to carry these out.

All of these situations may raise the need for some quick cash. This is drawing you towards the decision to sell a house as is. When you sell a house to cash buyers you don’t have to deal with a lot of the hassle. These are the ones that come with the traditional way of selling.

Other Reasons to Sell a House to Cash Buyers

more reasons to sell a house to cash buyers

Fast Sale

When you sell a house to cash buyers you are normally looking for a quick sale with a fast closing. At first, you may think it will be difficult to sell a house this way because of the need of repairs. There are several investors that are willing to buy a home as is. If you’re looking to sell your house fast then a cash buyer might be for you.

Fair Price

Naturally, the price will be lower than it would be if the home were in pristine condition. You will still receive fair market value, based on the worth of the home. Also keep in mind if you do your research for your area first, you may not have to even list your home. Chances are, you can find interested parties who advertise that they want to pay cash for homes. This means you will save substantial money on the real estate fees. You may also get some extra savings on your lawyer’s fees. This is because there is not as much legal work involved in this type of sale.

Fewer Inconveniences

When you sell a house to cash buyers you don’t have the inconveniences of waiting for the right buyer. You don’t have to do the repairs or put up with the intrusion of people viewing your home.

These are all valid answers to the question why sell to cash buyers. The answers are the solutions for those who want quick cash for their home. It is an ideal method for those that don’t want to go through the standard process of home selling. When you sell a house to cash buyers you can tend to your financial needs quickly. Or, you can get on with the move that is required based on your situation.

Sell a House to Cash Buyers Now!

reasons to sell a house to cash buyers

Watching your house sit on the market, spending an arm and a leg in repair costs, and not wanting to list with a real estate agent are all reasons why cash buyers are a better option for you. At FastFlex Homebuyers, we specialize in quick home sales for cash. That’s the benefit of selling a house for cash and working with us!

No matter what condition your house is in, we’re here to help you out. We’ll get your house closed, and write you a check on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.
 

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

Process of Selling My House to Cash Buyers

March 14, 2019 • Michael

When it comes to selling a property, homeowners have many options. From the traditional hiring of a realtor and sitting months on market to listing a for sale by owner and selling your own house, homeowners make the best personal decision with the most knowledge they have. Unfortunately, many homeowners have little to no experience working with we buy houses companies. The benefits of cash buyers are numerous, so when I want to move on quickly I’m selling my house to cash buyers.

The Benefits of Cash Buyers

My first property was a traditional starter home and required nominal financing to afford. Once I procured a higher paying job out of state, I knew I needed to sell my house quickly in order to relocate. After researching local real estate agents that came highly recommended, I realized the average realtor couldn’t promise a sale real estate closing within a specific timeframe; waiting months of a potential buyer to purchase my home wasn’t an appealing outcome. I began considering other options because utilizing the services of a realtor wasn’t a good solution for my hard time constraints.

After hours of extensive research, I realized the most convenient and quickest method for me to move was selling to cash buyers. Initially, when I made my first cash home buying inquiries, I expected selling to a ‘we buy houses’ company to come with some negatives.

Why hadn’t I heard about their buying proficiency and fair cash offers before now? And why weren’t all my friends and family using their unbelievable services? I asked trusted family members why, and they admitted to not knowing any local cash buyers, not recognizing the advantages, and not understanding the general cash buyer selling process. I felt it necessary to explain why I was selling my house to cash buyers.

the first steps of selling my house to cash buyers

Reputable cash buyers offer numerous far-reaching benefits that make selling a home a simple process. The advantage I was most drawn to was their ability to guarantee a closing within a week of our first meeting. That was simply unheard of when I originally researched the differing selling options homeowners had before I even listed my property. With cash buyers, I wouldn’t have to wait for a lengthy financing period because they had cash on-hand to purchase my property. If they viewed my property and wanted to purchase it, they could immediately. This was great for me to relocate.

Another unique benefit to selling my house to cash buyers was their desire to purchase my home in whatever current condition. For people like my parents, who had been unable to maintain basic upkeep and failed to update their home with the newest appliances, selling a distressed home could be difficult. Very few buyers want to acquire a home that needs major home repairs and lacks that move-in ready appeal. Thankfully, selling my house for cash meant selling without making any costly remodels or renovations.

An Atypical Selling Process

The standard selling process most homeowners encounter is fairly straightforward. A homeowner needs to sell, chooses a local real estate agent to represent them, and entrusts the agent to assess the home, provide a fair market value, and make professional advertising materials to entice prospective buyers.

Once a buyer is interested, the realtor and buyer’s realtor negotiate on behalf of both parties, and – best case scenario – agree and sign a purchase agreement. Now, even though the purchase agreement is reviewed and signed by both parties, the seller won’t receive funds until after the buyer procures home financing, which requires a mortgage lender or bank to approve. From the homeowner’s initial decision to sell to the buyer’s mortgage approval takes a few months. What’s worse is the buyer’s ability to weasel out of a purchase agreement without penalty due to clauses and contingencies, leaving the seller stranded and starting the selling process all over.

what I did when selling my house to cash buyers

I chose to sell my house to cash buyers because the process was more secure than the standard, and I knew I wouldn’t be let down. When selling to cash buyers, homeowners are able to skip many of the typical selling steps in order to close much faster. This atypical selling house for cash process begins with a homeowner deciding to sale. Instead of contacting a real estate agent though, they call their preferred cash buyer.

The cash buyer assumes the role of the realtor and assesses the property – sometimes with walkthroughs, sometimes using comparable homes – to determine a fair market value cash offer. After, they present the cash offer to the homeowners, the sellers can choose to close at their earliest convenience. No waiting for a financial approval!

Selling my house to cash buyers meant I was in control. I determined the closing date, kept the traditional realtor’s commission, and approved a cash offer I felt to be fair. I didn’t need to research local real estate agents or wait for potential buyers to judge my property’s worth; the cash buyers saw my home’s potential even with the varied flaws that turn off other buyers. My cash buyer was a friendly professional and assisted me throughout the selling process without payment. They talked me through any questions I had and showered me with references from other sellers. Selling to cash buyers allowed me the security to start my new job without worrying about selling my starter home.

Selling My House to Cash Buyers

why I went with selling my house to cash buyers

Though homeowners have many options when first deciding to sell their property, choosing a reputable cash home buyer should be a priority if needing to sell fast. Real estate agents work with multiple homeowners simultaneously and often cannot afford the time and dedication needed to sell a property most proficiently; cash buyers, on the other hand, are less burdened by multiple sellers because they guarantee speedy home sales.

When my family and friends ask me for referrals when they want to sell their homes, I advocate for cash buyers every time. Undoubtedly, cash buyers are real estate experts that are trained to determine a home’s value. Cash buyers also offer a simplified selling process. Forget waiting months to move on from your home; selling to cash buyers means being able to find your next home with ease.

Want to Benefit from Selling Your House for Cash?

choose selling my house to cash buyers

If you’re stuck thinking “why am I not selling my house to cash buyers” then you don’t have the time watching your house sit on the market. You don’t have that time, and we understand that. At FastFlex Homebuyers, we specialize in quick home sales for cash. That’s the benefit of selling a house for cash and working with us!

No matter what condition your house is in, we’re here to help you out. We’ll get your house closed, and write you a check on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.
 

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

7 Tips for Selling Your House for Cash to a House Buying Company

March 7, 2019 • Michael

Selling your house for cash can be an arduous affair if you’re not experienced with the ever-fluctuating real estate industry. From determining a home’s asking price to becoming familiar with the legal documents involved, selling a home typically requires specialized knowledge.

Thankfully, the popularity and prominence of selling alternatives have crept up in the past couple decades, giving sellers multiple methods to move on. Instead of the typical hire-a-realtor dance, more homeowners than ever are considering the benefits of cash offers and selling a house to cash buyers. These seven tips and tricks for selling your house for cash to a house buying company will provide the simplest home selling solution on the market today.

1. Research House Buying Companies

so research before selling your house for cash

If you’re selling your house for cash, you must first research house buying companies and determine which one is best for your home sale. There are many, varied house buying companies out there: those who buy sight-unseen, those who work predominantly online and outsource to investors, and those who search for local homes and must participate in walkthroughs before submitting a fair cash offer on a house. When conducting your own personal research, make note of the individual services provided to make the best-informed decision.

2. Choose Local

Like most products, local cash buyers are in higher demand than the distant, online competition. And there’s a reason for this. Local cash buyers know the area; they have first hand experience with the neighborhoods, regional home legislation, and can determine the price of a home without as much research. Local cash buyers are also more apt to possess similar personal values and visit the same local establishments. The commonalities between a local cash buyer and a homeowner can be vital when meeting, assessing, and selling the property.

3. Check References

Before deciding to work with a specific house buying company, it’s imperative to evaluate the cash buyer’s reputation. Homeowners can evaluate a company’s service by browsing their references from other sellers that have used their services. These can be typically found online through either the company’s website or via business rating services like Angie’s List or Yelp. Though some can be forged, honest references will offer real life author names and provide very specific details into a business and their dealings. If you ask for references and aren’t provided any, move on to another local cash buyer.

4. Be Honest About Your Home’s Condition

list your houses condition when selling your house for cash

One of the best benefits of selling your house for cash is that house buying companies generally do NOT care what condition a home is in. Have comprehensive water stains? No problem. Need extensive updates or major renovations? They’ll still buy it. House buying companies aren’t turned off to the average home degradation most other prospective buyers avoid. Whereas standard buyers want move-in ready properties with immense curb appeal, cash buyers want dilapidated homes with visible age. The more broken, the better. There’s no need to lie about your home’s flaws; cash buyers see the potential of a property. Before having a local cash buyer inspect your house, there’s no harm in being upfront about the possible damage and problem areas.

5. Don’t Be Afraid To Be Yourself

Unlike dressing up in your Sunday’s best for an Open House or hiring professional cleaners to spruce up your home, don’t be afraid to act like your natural self when contacting and meeting a representative of a house buying company. Cash buyers are professionals; they’re not interested in a home or homeowner’s first impression. They’re interested in the character of the property and the willingness to sell from a homeowner. Experienced house buying companies communicate with motivated sellers with distressed properties on a consistent basis; they know how to approach a sale with finesse, empathy, and understanding. Cash buyers won’t judge, so don’t be afraid to show off the real you.

6. If You Don’t Know, Ask

ask questions before selling your house for cash

The home selling process can be a lengthy and complicated mess for inexperienced sellers. Completing legal forms can be tedious and determining a home’s accurate value can be challenging. When you a homeowner hires a real estate agent, they expect a certain level expertise to assist with whatever questions they may have; unfortunately, not all realtors have the time, knowledge, or resources to accurately answer a seller’s questions.

When selling your house for cash, you’re given access to professionals that put you and your property first. If you have a question about the home selling process, just ask. If you want to know why a cash buyer offered a certain amount, they’re willing and able to inform you. Cash buyers have extensive knowledge with the real estate industry, current housing market, and price fluctuations; there are few more knowledgeable professionals capable of answering a homeowner’s inquiries.

7. Take the Initiative, Make the Call

The first step in the process of selling to cash buyers is simple: make the initial call. While some cash buyers will contact a homeowner after initially listing their property, many miss the opportunity to make the first call. If you’re considering selling your house for cash and haven’t received at least one email or call from a house buying company, it’s time to take the first serious step. When a cash buyer receives a call from a legitimate local seller, they are determined to submit a fair market cash offer and finalize a home sale. If you sound serious about selling your home, they’re serious about buying it.

Selling Your House for Cash

It’s no secret that homeowners have numerous options when needing to sell their home. They can hire a real estate agent or list as a for sale by owner. A better option for sellers are local cash buyers though; they’re interested in buying properties in any condition and closing at the earliest convenience for the seller. Local cash buyers are familiar with your area and know your home’s worth, usually without even seeing it. If you’re interested in using a house buying company, remember to be yourself; cash buyers love to work with honest sellers and have a fondness for flawed homes.

Sell Your House Now!

considering selling your house for cash

Realistically, listing with a real estate agent takes anywhere from 4 – 10 months depending on your market. In Kalamazoo, it could take a minimum of 6 months. You don’t have that time, and we understand that. At FastFlex Homebuyers, we specialize in quick home sales for cash.

We’ll get your house closed, and write you a check on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.
 

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

What are the Benefits of Selling a House for Cash?

February 28, 2019 • Michael

Selling your house shouldn’t be stressful. There are options. There are benefits of selling a house for cash that most homeowners don’t consider.

Owning a home allows one to build part of their financial security. As the ownership of this asset continues it builds equity. Once you decide to sell your home then this equity becomes available to you for whatever way you want to use it. The decision to sell your home brings with it several options. You can list through an agent or you can list it yourself. Then is one other option and that is selling your house for cash.

Benefits of Selling a House for Cash

what are the benefits of selling a house for cash

If you have ever sold a home in the past you have the basic knowledge of the process. Most likely you went through this while using a realtor. While there are some advantages to this method there are also some negative aspects to it. Selling a house for cash means you don’t have to deal with the downside of selling a home in a conventional manner.

Fewer Selling Expenses

When selling a home there are certain costs that you have to incur. Many people don’t give this much thought as they just seem to be acceptable when selling a home. They do add up and saving on these is just one of the benefits of selling a house for cash.

Advertising Fees

Many home sellers now are venturing into selling their home themselves. They are not using the services of realtors. This means they have the cost of advertising their home. This takes knowledge and money to run effective ads, even if it’s just in the local papers.

No Realtor Fees Is One of the Advantages of Selling a House For Cash

no fees is a benefit of selling a house for cash

If one goes with the standard method of selling their home this means they will list it with a Real Estate Agency. Upon a successful sale, 6% of the sale is the average amount that will go to the realtor. Not having to pay this is another one of the advantages of selling a house for cash.

Reduced Legal Fees

There will still be some legal fees when selling your house for cash. These may be reduced. Often with a standard sale, there may be the legal fees to draft the mortgage. This is when you as the owner are taking back a mortgage for the new buyer which is quite common. With a cash sale, this doesn’t occur so you may be saving money here.

Your Other Expenses

Many times individuals who sell their home have some debt that they want to clear with the funds from the sale. If you place your house on the market, there is no telling when it will sell. It could take weeks or months. During this time you are most likely paying some hefty interest on your debts. The sooner you can get cash in hand the sooner you may be able to clear these and save on the interest expense. In addition to that, you won’t have to spend more money making repairs to your house. Cash buyers will buy your house as-is.

Speed of Sale

fast closing is a benefit of selling a house for cash

Selling a house for cash fast is another one of the benefits of selling a house for cash. You don’t have the uncertainty of knowing when your house is going to sell. Taking advantage of the benefits of cash offers on a house allows you to close your sale much quicker.

There are some individuals that are selling because of specific circumstances. For these individuals, the benefits of selling a house for cash are highly important to them. For some, they may be re-locating, because of their job situation. This often has time constraints to it, and having the house on the market using traditional sale methods can be a big inconvenience.

For others, they are in a tough financial situation and this really creates the need for a fast cash closing. Again, another one of the benefits of selling a house for cash. Most buyers that are purchasing a house with cash favor a quick closing. This works out well for the individual who is need of money as quickly as possible.

Convenience is Another One of the Benefits of Selling a House for Cash

Real inconveniences can arise when selling with traditional methods and using a realtor. It is difficult to keep the home spotless and showing well every single day. The realtor will constantly be bringing prospective buyers through the home. This can interfere with the family lifestyle. Then there may be the inconveniences of open houses where the family has to leave the home for several hours. On top of this will be the negotiating of potential offers. These often go back and forth and can be stressful and time-consuming.

Fewer Hassles

Fewer complications is another one of the great benefits of selling a house for cash. Even when an offer is signed in a traditional sale there can be some tense moments. Waiting to see if the sign back offer is accepted may do is one of them. Another is when you have accepted conditional offers. This may be dependent on the buyer getting financing, or their selling of their home.  When you opt for selling a house for cash fast, you don’t have any of these issues to deal with.

Fast Cash Closing Buyers

There are already potential buyers waiting and ready to conduct a fast cash closing. This is another one of the benefits of selling a house for cash. You don’t have to wait for this type of buyer to come along. Many home buyers are always looking for homeowners who are looking at selling a house for cash fast. These are reputable individuals. They know what the fair market value of your home is and are willing to make a reasonable offer. You may think it is a little low, but before keep in mind all of the benefits of selling a house for cash.

Don’t forget you will be enjoying some additional savings with a fast cash closing. You will have your money from the sale much quicker so you can look after your other financial needs. You won’t be going through the stress and hassles that come with selling a house in the traditional way.

You are making a wise choice when you decide to capitalize on the benefits of cash offers on a house.

Want to Benefit from Selling Your House for Cash?

get the benefits of selling a house for cash

Don’t waste your time watching your house sit on the market. You don’t have that time, and we understand that. At FastFlex Homebuyers, we specialize in quick home sales for cash. That’s the benefit of selling a house for cash and working with us!

No matter what condition your house is in, we’re here to help you out. We’ll get your house closed, and write you a check on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.
 

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

For Sale By Owner Pros and Cons

February 21, 2019 • Michael

Before listing a home on the real estate market, homeowners need to make one very important decision: who is going to actually sell the property. Deciding how to sell, either for sale by owner, with a realtor, or with a cash buyer, is a big issue. Selling a home can be a lengthy and complicated process for owners, so many choose to employ the services and expertise of a local real estate agent for assistance.

Other homeowners feel confident in their ability to sell and decide to list a for sale by owner. While selling a house as the owner has enormous benefits, including selling for cash offer, it also comes with unappealing pitfalls for those inexperienced with the process and current up to date knowledge of the real estate business. To avoid these disadvantages, homeowners must become familiar with the for sale by owner process and recognize both the pros and cons.

Listing A For Sale By Owner

listing for sale by owner property sale

When selling a house as the owner, it’s vital to start with pricing the property. Accurately pricing a house is easier said than done, especially when the seller acknowledges their owner’s bias. It’s crucial to correctly price a property from the start of the selling process because it attracts certain buyers and determines how quickly the home will sell. While a good marketing campaign can boost open house attendees, sellers will lose out on many potential buyers if they overprice their property.

To accurately determine the asking price and avoid overpricing – the most common for sale by owner mistake – homeowners must calculate the home’s accurate value. Accurate value is the best price a buyer is willing to realistically pay and is found by browsing comparable properties in the same condition within the same area. Homeowners should also consider the current real estate climate and the cost of financing, if available.

Before finalizing an asking price, homeowners must remember that an asking price is not the selling price. Other home selling prices, tax assessments, and previous values for the home are often not reflective of the true market value of a property. Instead, acquire a professional home appraisal when justifying an asking price.

Successfully listing a for sale by owner also means being able to efficiently advertise your home. This happens by making your home the most attractive by repairing cosmetic issues and keeping the property maintained. To grab the attention of potential buyers, sellers must be willing to develop a clear marketing plan that goes beyond putting ads in the newspaper and a “For Sale” sign in the yard.

As an unrepresented seller, homeowners must be able to compete with homes sold by professional realtors. Using high-grade marketing materials, such as prepared flyers and brochures, as well as advertising online with Multiple Listing Service and home selling sites is necessary to attract serious buyers. Use up-to-date photos of the property and plan open houses on key days of traffic, like the weekends. It’s important to use every advertising tool available to when listing a for sale by owner.

The Pros of Selling a House as the Owner

put on the market to for sale by owner

Once able to fully appreciate the components of selling a house as the owner, homeowners can compare both the pros and cons of listing as an unrepresented seller. The most obvious advantage is that the homeowner is in control. You get to determine the asking price, set the appointment times, decide how to negotiate with a buyer, and when to host an open house. When using a realtor, homeowners must rely on the agent to properly and safely show their property; they entrust the realtor to lock up after showing strangers a property, which doesn’t always happen.

Another positive unique to an owner selling house is that they typically know their home better than any agent. Sellers are able to list a home’s recent updates, accentuate all of its best qualities, and highlight its unique selling point. Real estate agents are often unable to spout of the home’s amenities; while they’re juggling other properties to sell, for sale by owners have a singular focus and dedicate more time and resources on their own home.

One of the most attractive pros of selling your own home is not having to pay a  5-7% commission to your real estate agent. Instead, sellers are able to keep that money to buy additional or higher quality advertising, or pay for any necessary repairs.

The Cons of Selling Without a Realtor

using a realtor for sale by owner property sale

While selling without a realtor offerssome benefits, inexperienced sellers may face potential consequences when selling a for sale by owner.  If you do not understand the market, seeking out a professional may be in your best interest.  Without a Realtor, the most common disadvantage is not receiving your accurate home value. Unfortunately, some unethical buyers seek out an unrepresented and unknowledgeable sellers in order to con them and purchase a property for much than it’s worth.  Homeowners familiar with the process will not be fooled by these illegitimate buyers, no matter how persuasive they are. For help identifying these specific type of scammers, sellers should contact a local cash home buyer; they provide real estate expertise with no strings attached so the service is free.

Another common disadvantage an owner selling their house might face is having less visibility. Even with the array of free online home selling sites and local magazines dedicated to advertising homes, some sellers have trouble attracting buyers via a strong marketing campaign. Realtors have more experience and methods available to market a home, but sellers have to ultimately pay for the additional advertising through realtor commissions at closing. If a homeowner is selling a house for cash, they don’t need to worry about extra advertising fees and writing up detailed property descriptions; professional home buyers typically find you and can offer you cash!

The biggest drawback of listing without the aid of a realtor is weeding out unqualified and uninterested buyers. Without prior experience, differentiating between a legitimate buyer and a scammer is a difficult endeavor and can cause serious long term issues.  For sale by owner often brings “tire kickers” that can lead to a degree of frustration as they are often not financially qualified nor a professional company that buys houses as investments.  If selling a house for cash, homeowners can forget worrying about attracting the right, serious buyer; cash home buyers are serious about sales and often buy and close on properties within a week. For novice home sellers, they also prepare all the legal forms and disclosures while explaining guidelines and requirements.

Homeowners shouldn’t be discouraged by the negatives if they’re genuinely interested in listing their property without a realtor. With a bit of knowledge and a friendly local cash home buyer, sellers will be able to successfully and easily sell their own homes.

Want to Sell Your Home for Cash?

get the benefits of selling a house for cash

Don’t waste your time watching your house sit on the market. You don’t have that time, and we understand that. At FastFlex Homebuyers, we specialize in creative flexible buyout terms and quick home sales for cash.  Creative terms offer the highest payout possible, while fast cash will have you house sold in as little as 7 days. Those are the benefits of selling a house  and working with us!

No matter what condition your house is in, we’re here to help you out. We’ll get your house closed and money due you on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

How to Sell a House That Needs Repairs Without Fixing It

February 14, 2019 • Michael

Many home sellers ask themselves whether they should sell a house that needs repairs. Some feel that they will be able to sell for a higher price. That way they will get their money back from the repairs. Others just cannot fathom being able to sell an ugly house.

This is a question that can be answered in different ways and takes some thought before coming to a decision.

Can You Afford the Repairs?

affording to sell a house that needs repairs

Chances are if you want to sell an ugly house you are in a position where you can’t afford house repairs. This may create a frustrating situation for you. Some houses need minor repairs such as a few wall repairs and some painting. Then there are others that own a home that is in need of serious repairs. The roof may need to be done and perhaps the electrical components need updating. These, as well as other major repairs, can be really costly.

If you are wanting to sell a house that needs repairs, it could possibly mean that you are in need of some quick cash. Trying to sell your house as-is may not be an easy task if you are going to go through the traditional methods. This would be putting it on the market and listing it through an agent.

It May Not Be a Good Idea to Do the Repairs

If you are going to sell a house that needs repairs, then be prepared to make an investment. This may be one that you will not get back with the sale. A lot of buyers do so with the intention of doing their own renovations. If you have just completed some interior repairs these may not be of any advantage to a potential buyer.

Selling Your House As-Is

It may be a lot easier to sell a house that needs repairs than you may think. There are buyers out there who make a cash offer for ugly house transactions.

Disclosure

You are going to want to disclose the defects of the home as best you know them. It may be that you inherited the home and are not aware of all its faults. You may be compelled by law to disclose what you do know. Every home has its flaws. You want to point out the ones that are major and may not be readily seen by someone viewing the home.

Your Responsibilities

If you are going to sell a house that needs repairs, then you won’t have any obligations to do any of the repairs that are required. The potential buyer may have a home inspection done. Usually, if they are prepared to buy as is they won’t go that route. They are aware that a home inspector would find the repair issues that they are already aware of. There are some home buyers who really are looking for those who want to sell a house as is. This is because they are prepared to do a substantial amount of work not only for the repairs but for major remodeling. They feel they can get a buy like this at a better price. Then, with what they can save on the purchase they will use to re-do the home to their exact liking.

The Right Cash Offer For Ugly House Sale

get cash and sell a house that needs repairs

While you may have decided to put the house on the market as is, you may have some issues with some buyers. There may be those that want to do the major repairs and renovations, but still need to finance the purchase. There can be some issues with this as a lot of lenders are not keen on loaning money for this type of purchase. The lender may ask for a home appraisal. You may be thinking of asking more than the house is appraised at. In this case, some buyers will not qualify for the purchase if they are borrowing.

Another option that will most likely be available to you is a buyer who can walk in and pay cash for the home. This way there are no concerns for the buyer having to arrange financing. If you are intent on going ahead to sell a house that needs repairs then this type of buyer is your best.

The Advantages To Decide To Sell A House As Is

By not selling in the traditional manner you are not going to have all the headaches of the repairs. Then also to consider with this of a cash offer for an ugly house contract is the time. It takes a lot of time to get all the repairs done. If you can’t afford house repairs and were planning on doing it yourself, this will be even more time consuming.

The “sell a house as-is” opportunity really is your best option. That is if you don’t want to go through the hassles of listing your home. Even if the housing market is hot you may not be able to sell quickly because of the need for repairs.

If you are in need of quick cash and want a deal that is going to close quickly a cash sale is ideal. The decision to sell a house that needs repairs is really your best option. This is especially true if you are in need of quick cash. Plus, you want the deal to close quickly. If you accept a cash offer for ugly house sale then you are most likely going to save additional money. This means you won’t have to pay the regular listing fees.

Rather than put your house on the market with the intention to sell a house as is, do some research. You may find that there are potential buyers in your area that buy these types of houses regularly. These are professional investors that will make a fair deal with you based on the condition of your home. They are well aware of the prices of homes in your neighborhoods. They will take this into consideration when giving you a cash offer for your home.

If you really want to get rid of your home quickly selling for cash as is will be the quickest action you can take. It will probably be a decision that you won’t regret. This type of house selling comes with a lot less hassles.

Need to Sell a House That Needs Repairs?

need to sell a house that needs repairs

Selling a house that needs repairs is a stressful situation to find yourself in if you don’t have the cash to afford it. Repairs can add up and keep your house from getting on the market. You don’t have that time, and we understand that. At FastFlex Homebuyers, we specialize in quick home sales for cash.

No matter what condition your house is in, we’re here to help you out. We’ll get your house closed, and write you a check on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.

 

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

Listing with a Real Estate Agent vs Selling Your House for Cash

February 7, 2019 • Michael

Selling your house can be a difficult process because there are so many options. Should you go with listing with a real estate agent, selling to a cash buyer, or selling it on your own?

One of the many advantages of owning real estate is having plenty of options. There are options for buying as well as selling it. As a homeowner that is interested in selling your home, you need to know what your specific options are.

listing with a real estate agent

Selling Your House Yourself

For sale by owner is often the type of sign you see today on homes for sale. This is certainly something homeowners can do. Many don’t understand how difficult this can be. Putting up with the hurdles that come with not listing with a real estate agent can save money.

The Pros of How To Sell Your House By Owner

The Time Factor

If you are not in a hurry to sell your home then listing it for sale by owner can be a distinct advantage. You can set your asking price and hold firm to this. The schedule for showing the home will be dictated by you. This can be done during the times that are most convenient for you.

Change of Mind

If you decide that you don’t want to sell your home you can simply stop your efforts to do so. You have the option of when you want to sell and you can change your mind as often as you like.

Potential Savings

The biggest reason that most people prefer not to use the option of listing with a real estate agent is because they can save money on the realtor fees. This is usually a 6% fee, which can be a big saving on the home sale.

The Cons of Selling Your Home Yourself

cons of selling yourself and listing with a real estate agent

 

Time Commitment

Not using a listing with a real estate agent means being prepared to devote plenty of time to the home sale.

You need to be available to take calls from interested buyers who will want to set up an appointment for a showing. You will then have to be available to show the home. Closing without a realtor means knowing the legalities that are involved.

You will need to be involved in some form of advertising. This takes time in writing up the ad copy. Then there will be some research involved as to where to advertise.

Learning Curve That Comes With How To Sell Your House By Owner

When you go the route of listing with a real estate agent you are relying on their expertise. There is a lot that goes into selling a home. You are going to have to learn at least the basics of this to be successful. These professionals know how to sell a home by emphasizing its strong points. With you having a personal attachment to the home you may focus on this. Potential buyers may not find what you consider to be strong points applicable to them.

Safety Factors

It is important to consider the safety factors when allowing strangers into your home. Most often those who want to look at the home come in pairs or groups. This may make you feel uncomfortable as you don’t really know what their true intentions may be. Closing without a realtor can leave you open to making some serious mistakes.

Selling Your House for Cash

Another option besides listing with a real estate agent is to simply sell your home for cash. This is a good solution for a quick sale with a flexible asking price.

The Pros of Selling Your House for Cash

stop listing with a real estate agent and sell for cash

Convenient

You don’t have to go through the inconvenience of having to show your home to potential buyers. Most often when a home is up for sale it means multiple showings before it sells. There may also be a need for several open houses which can be a nuisance.

Quick Cash

Some individuals are in poor financial shape. If you need quick cash then selling your house for cash may help with this

Fast

Selling your house for cash is the fastest method for home selling. It takes very little time for the sales contract to be drafted.  Usually, a very quick closing date can be arranged.

The Cons of Selling Your House For cash

Less Money

A cash sale usually doesn’t give you much room to negotiate the selling price. The buyer has a set amount they are willing to spend. You need to decide whether the cash price is something you feel is fair and that you are willing to accept.

Limited Time

Normally with a cash sale, the closing is much quicker. You need to decide whether it will allow you enough time to make the move and find new lodgings.

Listing with a Real Estate Agent

There are a lot of good reasons why most home sellers want to follow through with a listing with a real estate agent.

The Pros of Listing with a Real Estate Agent

sell for cash don't go for listing with a real estate agent

Their Expertise

Real estate agents are professionals. They have all the knowledge necessary to sell real estate. They have the expertise to analyze the market in the areas in which they work.

Their Contacts

Agents have many different resources to draw from when it comes to potential buyers. They usually have access to large databases. These connect to other realty agencies that list potential clients.

Advertising Resources

A real estate agent has the expertise to be able to advertise the home in the right venues. They know how to write the copy and how to promote the sale.

Time

Realtors dedicate their time to showing the home and have the knowledge of how to close the sale. They have the negotiating skills when it comes to the financial aspects of the sale.

Legalities

There is a lot of paperwork and legalities to tend to for a home sale. Real estate agents are trained in this area. They can avoid some of the costly mistakes that can be made during a home sale.

The Cons of Listing With a Real Estate Agent

The Fees

The 6% realtor fee is the biggest disadvantage. You will have to pay this once the sale is closed.

A Commitment

You are making a commitment with your chosen realtor. They will be the only one allowed to sell your home during the duration of the contract.

Being Realistic

You have the ultimate say in what your house should be listed for. Your realtor will encourage you to be realistic in the listing price. This will be based on his analysis of sales in your area.

sell your house without listing with a real estate agent

Sell Your House Now!

Realistically, listing with a real estate agent takes anywhere from 4 – 10 months depending on your market. In Kalamazoo, it could take a minimum of 6 months. You don’t have that time, and we understand that. At FastFlex Homebuyers, we specialize in quick home sales for cash.

We’ll get your house closed, and write you a check on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.
 

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

5 Tips to Sell Your House Fast!

January 31, 2019 • Michael

From making repairs to utilizing the services of a cash home buyer, follow these general cash-saving tips to sell your house fast in any residential real estate market. Time is not on a homeowner’s side when it comes to selling a property. Depending on the time of year, real estate climate, and market trends, the average listing can sit on the market for months without a bite. For distressed homeowners, motivated sellers, and professionals needing to relocate immediately, knowing what to do to sell your house fast is money-saving knowledge.

1. Scope Out the Competition

get the best tips to sell your house fast
If you want to know how to get your house ready to sell fast, there’s no better method than scoping out similar homes in the same neighborhood and area. These properties will give homeowners a baseline for the competition already on market, and help determine the home’s accurate value. It’ll also outline what features are deemed most desirable by potential buyers.

If you look at the comparable homes closely enough, you’ll also gather more tips to sell your house fast. Take note of the homes that haven’t sold within your desired timeframe; if the properties possess certain commonalities – like poor curb appeal or outdated finishes – resolve to offer your potential buyer something better before listing.

2. Make Cosmetic Repairs

do the right repairs are good tips to sell your house fast

Homes age naturally. From home system degradation to peeling paint and broken tile roof, properties typically fall apart faster than their owners. When homeowners are ready to move on, these seemingly superficial issues can cause prospective buyers to skip an open house altogether. To increase curb appeal and better a first impression for potential buyers, homeowners should keep up with exterior maintenance: water the grass to ensure a lush, green lawn and apply a fresh coat of paint to the house and shutters.

For additional tips to sell your house fast, ask a professional landscaper to assess your property and how to make it more appealing. Planting colorful perennials, applying fresh mulch to natural areas, and adding a lavish fountain can set your home apart when listing. Remember to shop around before hiring any professionals to work on your home; you don’t want to waste more time, energy, and money fixing unexpected issues that may pop up due to shoddy contractor work.

3. Price Accordingly

One of the biggest tips to sell your house fast comes when initially pricing the property. It’s no secret that overpricing a home is detrimental to a property’s sale when comparing it to homes offering the same features. To ensure you’re reasonably pricing your property before listing, you must first determine its projected market value.

The simplest way to do this involves comparing it to homes within the same neighborhood, offering the same number of bedrooms and full bathrooms, and with similar updates. If this estimate seems too low or high for your specific home, it’s wise to obtain a home appraisal. Professional appraisers will not only compare your home to others in the area, they’ll also make detailed notes after a walkthrough and factor any property updates – and flaws – when calculating a home’s worth.

4. Consider Selling Your Home Without a Realtor

making sure the price are good tips to sell your house fast

Homeowners needing to sell immediately should seriously look into listing as a for sale by owner. Instead of hiring a real estate agent, unrepresented sellers decide to sell on their own terms. This is especially great for homeowners desiring a speedy sale. Homeowners listing as a for sale by owner have the control over when their property gets viewed, their asking price, and how to go about advertising. With those experienced in real estate or have a basic understanding of the selling process, selling your home without a realtor is a simple, time-saving solution.

Selling without a real estate agent allows homeowners to move at their own pace. If you currently have time constraints, selling your own home will provide you the means to advertise quickly and show your property any day of the week. As an unrepresented seller, superb advertising is essential to standing out within an industry that’s rife with competition. Attract buyers with unique flyers or hire a professional graphic artist to design a home brochure highlighting your property’s best features. Providing professional advertising materials while offering out-of-the-box marketing techniques is key to selling a home by yourself.

5. Sell to Cash Buyers

The best method to selling your house fast is to locate a cash home buyer. These buyers specialize in purchasing properties quickly – sometimes within a week of first contact – and can offer a stress-free selling process. Cash buyers make a living offering solid selling advice to local homeowners; they know how to successfully sell and the best options to sell fast. They also submit fair cash offers, allowing for a speedy sale and skipping the time-wasting house financing process.

While most house buying companies are legitimate buyers with loads of references and unparalleled professionalism, some are scammers only interested in submitting low-ball offers. Their intention isn’t to provide sound advice and fair market cash offers, but to manipulate desperate sellers into selling well below market value. To avoid these cash buyers altogether, homeowners should research their home’s accurate value before listing. When in doubt, ask to see references.

General Tips to Sell Your House Fast

get the best tips to sell your house fast

Selling your house fast doesn’t have to be an impossible endeavor. Instead of allowing your home to suffer months on market without a legitimate lead, take the home selling process into your own hands. Stop relying on real estate agents with multiple listings to focus on your home and take a proactive step to ensuring the successful sale of your property.

If you’ve already checked out the competition, completed all minor repairs within budget, and determined a fair asking price for your home, you’re well on your way to attracting a potential buyer for your home. For more general tips to sell your house fast, consider selling as a for sale by owner and locating a reputable cash house buyer. While the former gives you the control to sell at your own speed, the latter offers the quickest selling solution readily available.

Sell Your House Now!

Realistically, listing with a real estate agent takes anywhere from 4 – 10 months depending on your market. In Kalamazoo, it could take a minimum of 6 months. You don’t have that time, and we understand that. At FastFlex Homebuyers, we specialize in quick home sales for cash.

We’ll get your house closed, and write you a check on the spot! Call us today to get a no obligations quote for your house, or just to get your questions answered. We’re always happy and ready to talk! Contact us at 269-888-3245.

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.

The MI Foreclosure Process

January 31, 2019 • Michael

Most homeowners need to borrow money from the bank before buying a property. It’s often a necessary but unwanted acquisition due to lenders’ perplexing contracts, extensive regulations, and steep interest rates. But what happens when you cannot meet those monthly mortgage payments? You’ll probably unwillingly experience the dreaded MI foreclosure process, and will be looking for help.

Homeowners dread the F-word, and for good reason. Foreclosures can leave you homeless while ruining your credit. Although lenders are required to inform you about the many consequences resulting from a defaulted loan, the MI foreclosure process can seem sudden and life-altering. But how do foreclosures work? With knowledge and a little effort, you can effectively meet your state and lender’s guidelines to avoid foreclosure completely.

How Does Foreclosure Work

the foreclosure process and what you need to know

Although state laws and lender regulations can differ, the steps of a foreclosure remain relatively similar. The foreclosure process timeline typically begins when a property owner cannot make principal or interest payments on their loan. If the loan borrower cannot assume payments or foregoes communication with the lender, steps will be taken to ultimately foreclose on the home. If a homeowner cannot pay their mortgage, the property being paid for with the loan will be seized and sold.

The foreclosure process timeline initiates when a homeowner misses their first monthly mortgage payment. You won’t be penalized immediately; most lenders allow at least a week to make the missed payment without charging late fees. If a borrower cannot meet the payments, late fees, and interest after three to six months, the mortgage company will order a Notice of Default (NOD). The NOD provides information on the total amount owed and how much time an owner has to pay and is delivered by either a trustee or sheriff.

All foreclosures also include a Notice of Sale (NOS). The NOS is another physical document that is given to homeowners and posted on a property, usually within three months of the NOD. It identifies the date and time of the foreclosure sale where the property is publicly auctioned off to the highest cash bidder. Once a borrower receives a NOS, little can be done to salvage their foreclosed property.

The Types of Foreclosure

foreclosing on a house

Even though the foreclosure process timeline is generally the same, there are different types of foreclosures allowed. Knowing their dissimilarities can help a homeowner resolve each with ease. According to the U.S. Department Housing and Urban Development, there are three different types of foreclosures: judicial, statutory, and strict. Their differences are minor but include court involvement, how notices are delivered, and the general outcome of the MI foreclosure process.

A foreclosure is designated judicial when the process involves the courts. All states allow a judicial foreclosure, so knowing its procedure is vital. After the three to six months of missed payments, the lender files a lis pendens – “lawsuit pending” – with an attorney. This type of foreclosure involves the judicial system to provide evidence of a default while getting the court’s approval to initiate a NOS. If the borrower doesn’t respond to the NOD within 30 days of the filed suit, the courts will sell the mortgaged property at auction.

The process is a tad different with a statutory foreclosure. A statutory foreclosure is also known as the power of sale due to a common clause found in many deeds of trust. The clause allows the trustee to skip the court’s approval and sell the mortgaged property themselves, enabling a cheaper foreclosure process. If the homeowner dismisses the NOD or cannot pay within the waiting period, the mortgage company sells a home at auction. These non-judicial foreclosure auctions are typically more expedient than the court’s.

A strict foreclosure contains the simplest foreclosure process timeline, but only a small amount of states allow it. The lender will file a lawsuit directly once the homeowner defaults. If the balance is continually unpaid, the court will give the mortgaged property back to the mortgage holder, effectively skipping a home auction. The seized home is now deemed Real Estate Owned (REO) and is independently sold by the lender. A strict foreclosure usually only occurs when the borrower’s debt amount is greater than the property value.

Foreclosure Consequences

foreclosed home

The MI foreclosure process is time-consuming, complicated, and costly. It also comes with great consequences to the homeowner that defaults on their property.

Although foreclosures wipe out some debt, some stick with the homeowner even after relinquishing the property. The original mortgage obtained at the home’s purchase and some debt from a second mortgage can be paid after the home is sold. However, property owners are still required to pay second mortgages back to the lender if they’re not paid off in full after a foreclosure sale. When homes depreciate or there’s a significant drop in the real estate market, the foreclosure will be sold for less than what is owed. A court could decide to enter a deficiency judgment against the homeowner. The judgment holds the owner accountable for paying the difference and allows the lender to seize any other assets the property owner may have.

Another major consequence deals with the borrower’s credit. Mortgage foreclosure is considered almost as damaging as filing for bankruptcy to most tax experts. A foreclosure, no matter the type, will remain on the credit report for seven years. This seriously limits a homeowner’s ability to borrow in the future and may have a significant impact on your credit score.

How to Stop a Foreclosure

using bankruptcy to avoid foreclosure can lead to problems

There are several stages within the MI foreclosure process in which to bring your loan current and halt the bank from seizing your home.

The easiest way to stop a foreclosure is to catch up on the missed mortgage payments. Sometimes there are extenuating circumstances keeping a homeowner from repaying. But if you can afford it, pay them off; you’ll avoid a foreclosure on your credit and be able to continue living at your current residence.

Another way to exit the foreclosure process is by getting a loan modification to lower payments. A borrower can achieve this by either requesting their loan to be paid over a longer period or at increased interest rates. Many lenders are willing to work with homeowners to make reasonable payment options.

Homeowners can also avoid foreclosures altogether. Lenders are willing to work with cooperative borrowers, so communicate. If a mortgage company sends a NOD, don’t ignore it! Responding to the notice and staying in contact with the lender will slow the foreclosure process.

You can also prevent foreclosures by knowing how much you owe each month and save accordingly. Although this is an obvious step, many homeowners will prioritize other expenses over paying their monthly mortgage. Create a budget and save the payment due date in your calendar. Responsible homeowners keep up with what they owe.

The threat of a foreclosure can be scary to a homeowner with an existing mortgage. But knowing how foreclosures work will help you avoid the consequences of a defaulted loan. By utilizing these preventative measures, you’ll be able to skip a financially debilitating foreclosure completely, and continue to live in your dream house!

An Option to Avoid the Foreclosure Process

doing your reasearch

If you are facing foreclosure and have run out of options, you might consider getting a cash offer from a home buyer. FastFlex Homebuyers pays cash for houses so that you can sell before and close before the foreclosure. This usually allows you to keep the foreclosure off your credit and keep some of your equity.

Give us a call at 269-888-3245 to learn more about how we can help you avoid foreclosure in Kalamazoo.

The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.
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