Being upside-down on your mortgage can be a challenging situation to navigate. Taking action and exploring your options is crucial if you owe more to your home than its current market value. This blog post will help you through the steps you need to consider if you find yourself in this situation in Colorado. By understanding and implementing these steps effectively, you can regain control of your finances and work towards a more stable future.
With so many decisions ahead, being fully informed and weighing the benefits of each will help you feel confident in your action. So read on as we explore four things you can do if you are upside-down on your mortgage in CO.
Evaluate Your Financial Situation
The first thing you can do if you are upside-down on your mortgage in CO is to get a realistic picture of where you stand. Then, contact your lender for the amount owing on the mortgage and schedule a professional appraiser so that you’ll work with exact numbers.
Take a close look at your income, expenses, and outstanding debts. Consider factors such as job stability, savings, and your ability to cover the mortgage payments. I want you to know that understanding your financial standing will help you determine the best course of action moving forward.
Professional buyers like those at Dragonfly Investment and Development want you to make an educated decision about your future, so they’ll compare what you could earn from listing vs. our offer to buy your house directly as-is for cash, and you can skip the prep, cleaning, and repairs. At Dragonfly Investment and Development, our professional buyers provide all the details used to calculate our offer because we want you to agree it is fair and feel good about working with us long after closing.
Explore Loan Modification or Refinancing
Please reach out to your mortgage lender to ask about loan modification or refinancing options. In certain situations, lenders may be willing to adjust the terms of your loan to make it more affordable. Loan modification could involve reducing the interest rate, extending the loan term, or forgiving a portion of the principal. Conversely, refinancing entails replacing your current mortgage with a new loan that better aligns with your financial circumstances.
If you find that loan modification or refinancing isn’t feasible, a short sale may be a viable alternative. In a short sale, you sell your home for less than the outstanding mortgage balance, with the lender’s approval. This option can help you avoid foreclosure and minimize the long-term financial impact. Working closely with a real estate agent experienced in short sales will ensure a smoother process and increase your chances of reaching a favorable agreement with your lender. Professional buyers like those at Dragonfly Investment and Development are highly seasoned negotiators who can work out a short sale with your lender. A direct sale to one of our professional buyers at Dragonfly Investment and Development makes it easy to solve your home selling troubles in CO.
Pay the Difference
Another thing you can do if you’re upside-down on your mortgage in CO is to sell the property and bring the amount owing to the closing table to pay off the remainder of the mortgage. With a direct sale of your CO house to professional buyers like those at Dragonfly Investment and Development, you’ll get a fair value and won’t pay any hefty real estate commissions. At Dragonfly Investment and Development, our professional buyers operate with total transparency. At Dragonfly Investment and Development, there are no hidden fees, and because of our full-service in-house team of industry specialists, you won’t pay any closing costs, and we can provide you with a fast, guaranteed closing day. Or talk to your professional buyer from Dragonfly Investment and Development about selecting the best calendar date for your closing.
At Dragonfly Investment and Development, our professional buyers are the best option if you are upside-down on your mortgage in CO and need to sell. At Dragonfly Investment and Development, our professional buyers stop everything and listen to sellers to help find the best resolution for your situation. Feel free to ask us any questions or express any concerns you may have about the process of a direct sale of your CO house. At Dragonfly Investment and Development, we are your neighbors who live and work alongside you, and we are proud of the work we do helping CO sellers with unique and individualized solutions, one seller, one property at a time. So why learn more about the difference a direct sale of your house can make by talking with a professional buyer from Dragonfly Investment and Development for yourself without obligation? Call Dragonfly Investment and Development at (720) 263-0121.
Being upside-down on your mortgage can create significant stress and financial strain. However, by taking proactive steps and seeking professional guidance, you can regain control of your situation. Evaluating your finances, consulting with a reputable real estate agent, exploring loan modification or refinancing, and considering a short sale are all essential actions to consider when facing an upside-down mortgage in Denver, Colorado. Remember, each individual’s circumstances are unique, so it’s crucial to assess your options carefully and make informed decisions that align with your long-term financial goals.