©ghhomebuying - flickr

©ghhomebuying – flickr

If you are behind on payments or facing foreclosure, it is not too late to find a solution.  There are hundreds of foreclosure help services that are competing for your business, and are capable of modifying your loan or consolidating your bills into one monthly payment.  Many are offering services with no up-front fees, and are able to work with you and your lender to buy some time to help you get back on track. 

If your home is listed on the market with a Realtor, you are most likely competing with other similar homes in the area.  Because the housing market is in such a difficult period, it is likely that your home could be sitting on the market for months before seeing any interest or offers.  Buyers are taking their time these days, and have many options to choose from.  Not only that, but it is more difficult than ever for an average borrower to get approved for a home loan.  Banks and mortgage companies are under water on many of the risky loans that were made 5 years ago, and the thought of taking on more risk is a very hard sell in today’s market.

The first thing to do is to make sure that your home is priced competitively.  If you list the property for a price that you know is high or above the market prices for recent sales, your home simply will not sell in today’s market.  You can be optimistic and some regions of the country are in better shape than others, but the time has long passed when you could list a property for a high or optimistic figure and bank on seeing offers within a week or two.   It could take months before you realize there is no activity and only then will it become clear that your property is overpriced.  So – LIST YOUR PROPERTY COMPETITIVELY!  The first offer you get might be the best one, and properties that sit on the market for a long time have stigmas attached to them after a while, and it is easy to deter a home buyer from your property because of an unusually long market time or listing history. 

A licensed Realtor can help you with pricing the property appropriately, and do not blame them if they think it is worth more than you do because they are probably right.   Most Realtors understand how difficult this period is for home sellers, and it is not in their best interest to tell you a home is worth less than you think.  Remember, their commission is higher the higher the property sells for, so they have no reason to tell you the home is worth less than it is.  Many Realtors would prefer to sell a property quickly, so you do want to make sure that the sales comparables or appraisals are checking out and accurate based on summary of your property.  But the sooner you sell your property the faster you may be able to capitalize on the next purchase, and instead of being taken advantage of you can get a property for a great price as most home are being discounted as much as 20-30% of the market listing prices.  It is a good way to turn lemons into lemonade and instead of losing wealth and facing foreclosure, you can buy at a discount and sell when the market shows signs of recovery or stabilization.

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