here is a site that could help to address your questions about a short sale. I hope this helps you see if a short sale is a option you would want to pursue.
Just to add onto the options that Jim discussed, you also have two other moves available to you just in case you are extremely motivated to get out of townhouse living.
1) Find a renter for your home and move in to the new construction home. Many lenders will approve you for a loan on an additional house if you have an executed lease on your current home and that rental income will offset the mortgage debt, association fees and taxes of your townhouse. You may have a slight deficit each month between those two numbers. However, if after all that your DTI (Debt-to-Income) Ratio is still acceptible a lender will approve you for a new loan.
2) Depending on your situation and where you are moving too, you may be able to short sale your current home and move immediately into your new construction home. There are certain guidelines for this to occur so to speak further on this course of action I would have to get more details.
If I could be of help feel free to contact me at one of the numbers below.
"THE OCEAN'S SIX GROUP"
ReMax Real Estate LTD.
NJAR Circle of Excellence Award Winner '06-'08
Time to talk to your agent - and your bank.
Unwavering Commitment to Service
It takes a lot of patience and work to get approved for one, and you should make sure you have an agent who is experienced in short sales to expedite things for you.
If it is your primary residence, you will not be held accountable (tax-wise and repayment-wise) for the loss and can be your way out of a home you no longer need or want. The government programs even will pay for your move if you qualify. So, you walk away with nothing, but at least you are out!
Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
If you have been trying for 6 months with a price of $215,000 without success then you have it priced too high, regardless of what you owe. The harsh realty is that nothing cures a pricing problem.
So my recommendation is this - have a heart to heart with your agent, if you need to sell this home, then get the price right so that you can move it. The sooner you do, the more you are likely to sell for. Time - in the form of mounting days on the market - is not the friend of sellers.
Good luck to you!
Unwavering Commitment to Service
To help you get an idea on what condos rent for in Toms River here is a rough range from the lowest to the highest:
2 bed 1 bath -$1150-$1700
3 bed 2-2 1/2 bath -$1500-&2250
Remember just because the numbers work on on paper, does not mean the numbers work out that way in practice. Keep in mind maintaining a rental property can contain many unforeseen costs. Insurance costs are different. Plus there are many laws pertaining to renting. Meaning a great likelihood of legal fees to review leases or carry out evictions, if needed.
I would suggest you decide whether to price your townhouse where the market dictates, accept your loss and move on with your life...or...stay where you are for another 3 to 5 years until the market stabilizes and begins to appreciate again. On the bright side, if you decide to sell, you should be able to negotiate back some of your loss on your purchase end! Are you working with a real estate professional?