HOW DO YOU SAVE MONEY WHEN YOUR HOUSE IS GOING TO BE SOLD AS A SHORT SELL?

I have to sell my house because my hours was cut at my job. my seller informed me that i may have to do a short sell. That will be leaving me with no money after everything is done. And yet i still have to pay the mortgage and everything else pertaining to the house.So when i move out what am i to have left. Should i pay as much as i can or try to save some money now? My family say i should not pay the mortgage save up and and move out because it will be a while before the house is sold. Please help i am confused.

Public Comments

1. idk, when stuff like that happens to me i just buy a lot of weed and it usually ends up being all good
2. In some cases, on a short sale, your mortgage company can just write off any balance due. Or, you may have to convert any balance to a personal loan and pay it. If they do that, your payments will probably be a lot lower. If you can't pay for it, you could let it go into foreclosure. However, that will really hurt your credit and it will come up if you ever try to buy a house again. (or within the next 10 years). Regardless, its a bad situation. Good luck.
3. Your question is worded oddly. You are the seller. So when write "my seller" I am uncertain as to what you mean. Do not make any more morgtgage payments. Save that money for another day. This could take several months for short sale to go thru. You could easiliy go 3-4 months with no mortgage payment.
4. in a short sale situation,you are not involed in the sale! only the buyer and the bank! you dont get a penny! "short sale" is when the banks elects to take less money then you owe on the property. making any more payments doesnt really make it any better for you! you might get what is a cash for keys offer! when you turn the keys over to the bank,and leave the property in good shape and clean,they might give you a little money! save and move sounds good to me!
5. Id love to know too!!
6. Do not pay any more than you have to for a short sale. I've heard advice both ways for whether you should pay at all, but since you can pay you should. What your selling agent is saying is that your home will sell for less than you owe, especially when you factor in closing costs and realtor commissions. SO he's speaking outloud the only way you can do this without losing money is to get the bank to allow you to sell it for less than what it is owed on it. Short sales happen but they don't always happen, you need a lender who wants to negotiate a lower payment, you need a seller who is desperate to sell, and you need a buyer who enjoys uncertainty of the process. Since youre not being foreclosed on it won't hurt to try the process but keep in mind that some lenders do not allow short sales when you can pay. Your home probably does not qualify for a lower interest rate under govt programs as you can't finance more than about 110% of the appraised value. Finally, there are benefits to selling a short sale in tha tyou don't lose money and you don't get foreclosed on but you do get a tax penalty by the IRS for the difference as income earned. So say you have a mortage for 100,000 and you sell for 80,000. Guess what, that's 20,000 loan foregiveness which means you earned 20,000 that wasn't taxed for the year of the sale. That 20,000 needs to be reported and paid to the IRS on. Finally I'm not to familiar with bankruptcy law but because you are currently not in default then I would recommend that you consider bankrupcty as a way to save the home you primarily live in. In some cases the judges have expanded powers in some states so it's good to at least talk to a banruptcy lawer with your loan papers in hand, and your finances as well.
7. A "short sale" is when your bank or lender is forced to sell the property for less than what is owed on it. You could contact your mortgage company and find out what stage the property is in, and if it has already gone through the foreclosure process. You may not be able to recover any equity and may need cash to move from the property depending on if you can get the loan amount brought up to current with a lump sum payment. You may also be able to structure a loan modification to buy some time to stay in the property and work on building your credit score back up so you can eventually refinance.
8. troublesome financial circumstances means more Americans are dealing with foreclosure. There are many things you can do to prevent foreclosure. You should talk to your financial lender directly and have this meeting rapidly. Banks would want to prevent foreclosures just as you do because they lose money when they sell a foreclosed property. If you want more assistance, I advise you go to http://mortgagereliefinfo.realfinancialhelp.info Also go to http://creditinfoguide.realfinancialhelp.info to get your credit report & score.