If you have a Florida home with negative equity, you are definitely not alone. Many homeowners in the state are underwater on their home mortgages. In other words, they owe more on their home than what it is currently worth. If you are in the same situation with many other Florida homeowners, do note be discouraged. There are ways that you can sell your home, even if it has negative equity. Let us explain some of the options you can pursue, and how you can sell your home for the best cash deal.
What is Negative Equity and What Causes It?
Negative equity results when the value of your home is less than the amount you owe on it. This can happen for one of two reasons. Either a loan has been taken out against the home and is larger than its current market value or the property has decreased in value over time. Negative equity often results if the borrower cannot keep up with their mortgage payments, the lender has foreclosed, or the property’s value has declined. Thus, it is important to look at options before you determine your next steps.
How to Sell Your Home with Negative Equity
Although selling a home with negative equity can be challenging, there are several ways that you can go about it. For example:
- You can let the lender foreclose on your home and not be responsible for any more monthly mortgage payments. However, the negative impact on your credit score could last up to 10 years and make it difficult to get another mortgage.
- You can sell your home “as-is” to a buyer that agrees to help you pay off a portion of what is owed.
- You can sell your home through a deed in lieu of foreclosure, thereby transferring the title of the property to your lender in exchange for your mortgage debt.
- You can sell your home through a short sale for less than the balance owed on your mortgage provided your lender approves it.
- You can sell your home to a house flipper or an iBuyer and walk away with cash. But, these individuals rarely have the homeowner’s best interests in mind.
Or, you can sell your home without any of the hassles and stress by accepting a cash offer from Homeinc. When you work with us, you will be working with highly skilled and courteous professionals who have a combined 80 years of experience in the cash-for-homes industry. We have helped several individuals in similar situations. We offer flexible terms and will make you a competitive cash offer on your home. Thus, if you are looking for a quick closing, call or text Homeinc today to get started- (888) 850-2636.