What You Need to Know About Selling a House with a Mortgage in Philadelphia

What you need to know about Selling a House with a Mortgage in Philadelphia

 

Selling a house with a mortgage in Philadelphia simply means selling the house when you still owe money to your lender, and you have not cleared your loan.  Most mortgages take between 15 to 30 years to repay the loan in full, and most people don’t wait for this period to end. Often times most homeowners sell their homes before the loan is paid in full.

Stacey Bradford’s  MSN money article, “Selling your home while buying a new one” postulates that taking on another mortgage to finance a home may be challenging because most lenders allow higher debt to income ratios of 50% to 55% only if you have good credit.

 

Find out your mortgage payoff

Finding out your current mortgage payoff is the first thing you should do once you decide that you want to sell your property. This will help you to analyze and understand your current borrowing state as well as how much you should sell the house for to ensure that you have covered the mortgage balance.  Your mortgage lender can give you a good quote for a specified period.

Processes

While selling a house with a mortgage in Philadelphia, you need to be sure that you get enough money from the sale proceeds to clear the remaining mortgage balance. You should work with your title company and lender to have the loan closing documents and a settlement statement ready. Once the sale is closed, the sale proceeds are used to pay the outstanding mortgage balance and other expenses incurred in the sale. You own whatever remains of the profits from selling a house with a mortgage in Philadelphia.

Short sale

Sometimes, the real estate markets can be unfavorable with low house prices. If you are considering selling your house with a mortgage in Philadelphia, then, you can approach your bank and organize for a short sale. In a short sale, your mortgage lender agrees to take a lower payoff amount while completing the sale of your home.

Other considerations

When selling a house with a mortgage in Philadelphia, an assumed mortgage is rare but possible. Some lenders will allow you as a buyer, to take over an existing mortgage if you satisfy certain income conditions. This is a nice deal for the buyer, especially if the current market rate is higher than the offer is given by the lender.

Why can`t you avoid these lengthy procedures and call or text 267-908-3860? No Knows Houses will pay you the real value of your home without additional expenses. All we want is to give you cash that is equivalent to the actual value of your home. Also, visit us online at www.noknowshouses.com for more information.

 

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