If i sell my house for less that i owe how do i pay off the remaining debt?

Harland
I had to refinance my house last year after my divorce; the refinance included a second mortgage my ex-husband and I did on the house. I'm looking to sell soon, and my current mortgage is about equal to what the house was appraised for. However, the houses in my area aren't selling for what they're worth. If I can't sell for what I owe, how do I pay off the remainder of the mortgage?

Elfreda
You have to pay the difference to convey a clear title on the home, or you can not sell it. That means that you have to pay the additional money out of pocket. Better to stay a bit longer and pay down the principal or save additional funds and pay it off at closing. You will pay regardless, and if you walk away, it will haunt you for 10 yrs or more. That is not the thing to do and I do not believe you want to do that either. Tough it out and things will pass OK.

Candis
You walk away like many people did in Texas when oil went bust in the 80's.

Valentine
you have to get another job

Carmen
hold on to the house and wait till you get what you owe.

Ammie
Check with your lawyer. This reads as you refinenced after your divorce with your ex. a) What debt provisions existed in the divorce paperwork.b) If he acted as an ex-husband and signed for the second mort. then both of you have to pay off the difference between repaying the loan and actual moneys received upon sale.c) In the discussions, remember to include selling costs which run approximately 10% of cost at present nationwide.

Craig
First of all I recomend you contact a REALTOR®, I can put you in contact with one that has been pre-screened. What you're asking about is called a short sale, and is only accepted by a bank in extreme circumstances such as right before foreclosure. If accepted this way you may end up with no debt.Otherwise, if your state is a deficiency judgement state, such as this one, they'll come after you in court to recover the loss plus court fees, lawyers fees and anything else they can add.Contact me if I can help.

Ivy
You would be best to hold on to the house and rent it out until the market improves. Live with friends or family. Residential real estate usually doubles in value every 7-12 years so the neighbourhood slump will be, probably, over in a year or 2 (unless your living in Bagdad). As an example my son brought a house a year ago. He rents out 3 of the 4 bedrooms to university students who are paying 95% of his mortgage and 75% of the utilities! Consider all your options before you sell.

Eleanora
Have you considered a rent to own option to a prospective buyer? Once the tenant has equity in the home, he or she is more likely to purchase the property at your asking rate. This is a legal contract and will require the assistance of an attorney that specializes in this type of arrangement so don't let your Uncle do this one. The legal fees should be tax deductible.

Nickole
I don't think you can sell. The house and property is the collateral for the mortgage, so if you don't get what you owe, you can't sell it. Or you'll have to borrow the difference so the mortgage can be paid off. Otherwise the closing won't go through.