Archives

House Seller Options

What is a quick cash sale?

In today's highly regulated lending market it's not uncommon for house sales to take close to two months to close. This is due to the high level of due diligence performed by the buyer's lender. The way to complete the sale much faster is to eliminate the lender. This is possible when a buyer such [...]

How does owner financing work?

A great way to sell a house quickly and for a higher sales price is to offer the house with owner financing. This is sometimes called seller financing. Owner financing allows a buyer to buy a house without having to qualify for traditional financing with a bank. Instead, the buyer pays a monthly mortgage to [...]

What is a lease option?

A creative and common way to sell a house, and ridding yourself of the obligation to maintain it, is to sell is as a Lease Option. This is done by leasing the house and selling the tenant an "option" to buy the house in the future at an agreed upon price. The tenant pays an [...]

What is leasing?

A lease is a great way to control a house for an extended period of time without paying the mortgage yourself. The tenant pays a monthly rent, which the homeowner usually is using to pay the monthly mortgage. If rent is higher than the mortgage than the house owner gets positive cash flow. Leasing has [...]

What is a short sale?

When a house owner has little or no equity, the only way to sell the house, and avoid a potential foreclosure, is a short sale. The option involves an investor or buyer working on behalf of the owner to negotiate a sale with the lender. The goal is to put a stop to a potential [...]

What is forbearance?

When a homeowner is confronted with a temporary financial hardship, it's possible that the mortgage lender will allow the owner to skip a couple of monthly mortgage payments, or forgive already missed payments. This is called a forbearance plan. This isn't meant as a permanent forgiveness of missed payments. The forbearance plan normally requires the [...]

What is a deed-in-leiu?

If your house is about to be foreclosed on, and you can't sell it with a short sale or any other program, the best option may be a deed-in-lieu. Short for deed-in-lieu of foreclosure, this means you sign the deed of the house to your lender in exchange for them agreeing not to further pursue [...]

What is an auction?

One way to sell a house that few homeowners consider is through an auction. It's a creative way to sell a house and can help move a house quickly. The house is marketed for typically two to four weeks prior to the auction date, advertising a reserve price of approximately 70% of the fair market [...]

What is equity partnering?

When a homeowner owns a house outright or has a fair amount of equity, one option is to sell the house to an investor and partner on the potential profits. The investor will repair the house so that it can be resold at top market value and shares some of the profits with the original [...]

What is a wrap-around mortgage?

If you don't want to rent your house and become a landlord, another creative way to sell your house is with a wrap-around mortgage, which is a version of owner financing. Just like in regular owner financing, the seller acts as the bank to the new buyer, "wrapping" a new mortgage around his or her [...]