It is indeed a common question asked by many owners around the globe.
Well, fortunately, yes, you can sell your mortgage house without any difficulty!
However, things are not easy, you should be aware of all tips and checklists to follow.
Though you can list the property for sale, you should complete the loan tenure as part of the closure of the sale.
If you are tired of looking the answer to your question, i.e. Can I sell my house if I have a mortgage, then this post is here to help you out!
Since all the original property documents are in the protection of the lending institution or bank, you can still sell the mortgaged property using the following tips.
Let’s discuss them in detail!
1. Find Your Remaining Loan Balance
One of the important steps that you need to consider before making the move is to find the amount of loan that you need to pay. It can help you determine the amount that you’ll need to pay your mortgage company when you sell your home to pay off your debt. If you want to sell it, make sure you set the price to the minimum to avoid listening “No” from cash buyers.
If you find any difficulty in determining the price, make sure you request a payoff statement or letter by getting in touch with your bank or the lending institution.
2. Determine a Fair Listing Price
There is no denying the fact that you want to sell your house fast for the maximum amount. However, it doesn’t mean that you may now ask for any amount higher than the actual price. It might be a deal-breaker for most buyers. If you post a good value for your house, you are likely to receive multiple bids, which could ultimately increase your chances of getting the right amount. Ask your real estate agent to do a complete market analysis to get you a fair listing price for your property.
3. Consider Deep Cleaning
No matter where you live, you cannot ignore the importance of deep cleaning. When your property is thoroughly cleaned, you have a strong chance of getting it sold to a reputed buyer. It doesn’t mean that you would start splurging on unnecessary things. Place a flower pot near your front door, replace the cabinet and door handles, paint your walls, plant more flowers, and more. Although buying new items may look attractive, not everyone has enough budget to spend on small things to enhance the look of their house. Do these things to improve the overall look of your property.
4. Sell the Home and Pay Off the Mortgage
Here comes the important part of the process! When you have already accepted the offer, you then move further to sign the sale and purchase agreement to complete the process. Don’t make any decisions in a rush. Make sure you wait for the buyer’s appraisal and inspections to be finished. Since you are selling your property earlier, you will receive a refund for whatever interest you didn’t have to pay. Also make sure to list your home on major realty sites like eXp. This will help you get your home seen by potential buyers sooner.
5. Use Your Remaining Funds Wisely
After selling your property, you will receive the amount (or profit). Though it’s your amount that you can use any way you want, it is wise to use it to pay the remaining loan amount. Make sure you use the amount in paying the loan to relieve yourself from the burden. When you pay such a huge amount collectively, you are likely to avoid private mortgage insurance.
Considering these tips will help you fetch a higher price for your mortgage property. Although it is a wise move to sell for a profit, you then might need to pay capital gains taxes on the money.