Home Selling in Las Vegas>Question Details

djash01, Home Buyer in 89117

I want to get out of my house. I am looking for options.

Asked by djash01, 89117 Wed Aug 21, 2013

I owe 260K on the house. Adding the realtor fees, the sale price should be $275K.

Zillow shows that the house is worth $225K.

How do I get rid of the house ?

1.I don’t want to do a short sale since it affects the credit.
2.I don't want to do seller financing since it is complicated.

What are the other options ? Please help.

Help the community by answering this question:


Diann Tonnesen’s answer
First you need to find out what your home is truly worth. Zillow estimates can be either high or low because they include data that are not true market value sales like transfers between family members for a nominal sum.

Secondly, a short sale does not have to affect your credit much at all! You can actually keep your payments current AND qualify for a short sale. (We have gotten quite a few like that approved!) It is having late payments on a mortgage that truly "dings" the credit score. A short sale where all mortgage payments were kept current will only affect the credit score about 30 points. That is not much and can usually be made up by paying off or paying down other lines of credit.

And lastly, sometimes, if you qualify and the bank servicing your mortgage offers the program, the bank will actually give you money to get out of the home and leave it in good condition. It may be a modest $2k, though I have seen Chase give up to $30k.

The other thing to take into consideration is that currently, if you do a short sale before the end of the year, you would not be liable for income taxes for the amount you are short. We do not yet know if the federal government will continue this program. If they do not and you decide to do a short sale later, you may have to pay taxes on the money you did not repay on the loan.

I have been doing real estate more than 30 years in Las Vegas and, as you can see from the information above, I have done a large number of short sales. You are not very short on your home, so hopefully your mortgage holder would be willing to work with you. It is actually up to the investor that is owed the money, not the bank servicing the loan, on whether they will accept a short sale.

I am NOT saying that doing a short sale is easy. You will be asked a hundred times or more to provide documentation that you have already provided. It is an absolute pain and very aggravating. BUT, at the end of the day if you can get out from under the burden and get a fresh start without harming your credit horrendously, it will be worth it, I promise.

Please feel free to contact me at any time on my cell at 702-596-7821 or via email at sold@greatlaseashomes.com. We will be happy to refer you to previous clients that we have done short sales for so you can talk to them about the experience and what to expect. And how their lives have changed since it is all over and done with!

Diann Tonnesen
Prudential Americana Group Realtors
With over 30 years of experience helping families call Las Vegas "home!"
0 votes Thank Flag Link Thu Aug 22, 2013
You are right, seller financing is complicated. And to be honest, there are hardly any insurance products that exist to protect individual home owners like yourself who choose to do seller financing. Most insurance companies only underwrite policies for malicious damage and loss of payments to banks or financial institutions. If you ask an insurance company to cover your loss in case of foreclosure, they will look at you funny and ask if you own a bank.

The least complicated method in this situation, in my humble opinion and ten years of experience in buying and selling properties is to put your property on a lease... with an option to buy at the end of the lease term. This way, you retain control over the deed.

Also, the good news is there is vast amounts of coverage available to landlords. For issues such as:

- Malicious damage done by tenants
- Frivolous (or not so frivolous) lawsuits
- Tenant default

We work with a company that offers 100% coverage in these areas on rental properties and up to 6 months of lease payments if your new tenant defaults.

Since there is no insurance coverage for individual home owners for seller financing (where the deed transfers to new buyer at day of closing) I would say ... follow the money.

A lease with option to buy tenant is essentially leasing your property while working on their credit to purchase your property in the future.

Also, not to sound rude or crass... but as far as the other scenario goes, nobody is going to pay you $50,000 above what the property is worth because it is too complicated to learn a creative strategy. However, a lease option tenant can cover your payments while giving the market time to adjust. Regardless, you are still making a mortgage payment anyway.

We work with individual home owners and Realtors on consulting during these types of situations. Please see referenced website below:
Web Reference: http://www.JVAmerica.com
0 votes Thank Flag Link Thu Dec 4, 2014
Are you still looking to sell you home?

I look forward to hearing from you!

Best Regards,
Robert Adams
The Adams Team at
Rothwell Gornt Companies
Visit my website: http://www.LVrealestateHELP.com

CONNECT with me on LinkedIn: http://www.linkedin.com/pub/robert-adams/2a/971/a93/

LIKE me on FaceBook: https://www.facebook.com/pages/The-Adams-Team-at-Rothwell-Go…

FOLLOW me on Twitter: https://twitter.com/ShortSalePros
0 votes Thank Flag Link Tue Sep 3, 2013
No other options aside from a short sale if your home is not worth what you need it to be worth. I run into many sellers in this same exact situation. Even if by some random chance-- you find someone willing to purchase your home at $275k... there is likely NO WAY that it will appraise for that number, hence where your issues now arise.

Before going the short sale route, call an agent and have a CMA done, this will determine what you would fetch on the market today. Zillows pricing is sometimes WAY off. It may be worth more, or less---- a CMA will determine this for you
0 votes Thank Flag Link Tue Sep 3, 2013
Are you stating that you have someone willing to pay you $50,000 more than the property is worth and you do not understand seller financing thus think its complicated? Let me try to simplify as best I can. First there are a couple basic forms of seller financing, AITD and contract for sale. Both are intended to transfer property ownership from seller to buyer without institutional financing. Both are current financing methods available and used in the GLVAR MLS system. The main difference being when title to property passes. There are many people who have had something negative happen to them credit wise, there are also many more that are self employed, tipped or commissioned jobs that can't qualify thru standard channels. Many are as good risks, (many are not). Consider this, you have a opportunity to allow someone to help you out of a problem and at the same time help them in to a new home. You haven't mentioned down payment, but I'm assuming $25,000-$50,000? Every situation is different, but if you use the right realtor, title company, loan servicing company, and attorney this may be the only way to maintain your good credit without coming up with $50,000 out of pocket to pay deficit. Contact (and pay) a real estate attorney that works with seller financed properties, the money you pay them to show you why this can be a good way out of your situation may save your credit and potential deficiency judgement.
David DiMarco
Keller Williams Southern NV
0 votes Thank Flag Link Mon Sep 2, 2013
Well , first of all , Zillow is not the most reliable source for your homes value . Real estate is local and there are alot of other factors that need to be considered to determine value .1. Condition of the property 2. Location 3. Time frame for sale 4. Financing considerations and 5. Supply and demand . The purchase price and value of a home can also be defined as : what the buyer is willing to pay and what the seller is willing to accept .
Prices have increased substantially in many areas and your home may be worth more than Zillow says its worth .
You can 1. Work out a loan modification with the bank if you fit he guidelines of many programs . Or try to refinance .
2. Hire a Realtor to determine the true value of the home or pay an appraiser
3. Understand what is involved in seller financing ( it really isn't complicated as long as you have an attorney draw up the agreement and what the recourse would be should they default ) . Often times , seller financing can yield you a nice ROI . And you don't have to worry about other financing regulations .
4.A short sale can affect your credit , but not nearly as much as a foreclosure . Having a short sale will keep you from making another purchase for a few years but isn't as bad as it used to be.
5. Is it possible to rent the property out until values increase and then sell it ?
6. Lastly , you could just walk away and do a died in lieu of foreclosure . Just turn the keys into the bank and walk away . Although not recommended .
You really should seek legal advice to be certain of the consequences of any of these decisions.
But mostly I would hire a professional Realtor to determine he true value of the home before jumping to conclusions about what you and cannot do . Let a Realtor help you navigate and negotiate with the banks . Thats what Realtors do , that's hat they are trained for . Zillow is a great real estate entertainment resource , kind of like a really cool video game , but can't help you navigate the complex workings of a real estate transaction. . Thanks for asking , that was a great question.
0 votes Thank Flag Link Sun Aug 25, 2013

Call a Realtor and list the home. Have the agent or Broker do a CMA and find the correct value for the home. Zillow does not accurately reflect prices in a rapidly changing market. If you have not listed it, give me a call and we can discuss the value of your home.

Thank you,

Jeffrey Sklar
Desert Valley Realty
10161 Park Run Drive #150
Las Vegas, NV 89145
702-408-6470 mobile
702-763-SELL (7355) office
888-203-2779 fax
Be sure to tune into 720AM every Saturday at 6pm to hear me host "The Real Estate Show!"
0 votes Thank Flag Link Sun Aug 25, 2013

First step is to contact a professional real estate agent to prepare a comparable market analysis. Most of the times Trulia prices are not updated and your house might be worth more than you think.

In my opinion, you do have many options if your property is below current market value. You can try to short sale your property without missing any payment if you have hardship. If you choose this option without missing any mortgage payments, your credit should not be effected greatly. You can also lease your current property and move to a new place with a lease with option to buy .
Another option is to re-finance your property by calling your current lender and see if they can help you.

Again, first step is to have your property evaluated by a professional and experienced agent . I will be happy to meet with you and prepare a FREE comparison evaluation for your property.

Yours truly,

Rena Levy

Connecting global wealth with global people!

International Broker/Associate
Certified International Property Specialist
Global Business Council
Licensed in U.S.A/Nevada and Israel

World-Wide Real Estate
"Bringing the world to you..."

Direct: 702-900-4330 U.S.A
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Web Reference: http://www.cvegashomes.com
0 votes Thank Flag Link Sun Aug 25, 2013
Are You Behind on Your Payments? If your house value is below your mortgage, you will not have any other options than to wait for more recovery or sell short.

David Cooper. Helping Investors and 1st Time Buyers Locate Foreclosure Deals Since 1994
READ MORE http://www.lasvegaswinner.org
0 votes Thank Flag Link Sun Aug 25, 2013
Hi Djash01,

My first question is why do you want to get out of your house? Can you not afford it anymore? Loss of Income? Illness? These are questions you are going to have to answer in writing in your hardship letter to your bank if you choose to do a short sale. As well as provide your bank statements, W2's and tax returns consistently through out the process and you have to be willing to cooperate and provide the documentation the bank requests in a timely manner.

Second, is you would need to find out what the current market value is of your home, and what kind of activity your area is getting. If you live in the 89117 zip code. I believe that is a desirable area. The most important thing is pricing the property correctly. We are currently still in a seller's market. That is another plus for you. Except, I have seen the market start to shift. We went from having less than 1/2 a month supply of single family homes 6 months ago. To currently having a 2 to 3 month supply of homes currently on the market. What that means to you is more competition when you go to sale your house.

Third, the reason you should consider doing a short sale is because the Mortgage Debt Relief Act is still in affect until January 1, 2014 and we do not know if the Govt. is going to extend it again. Congress barely was able to get it extended last year. What this means to you is that if your home is your primary residence and you fit the guidelines of the mortgage debt relief act. When you short sale your home the remaining debt would be forgiving or cancelled out. That means that all principal balances unpaid by the homeowner and forgiven by the lender would have to be treated as ordinary income to the homeowner by the IRS. For example, if a lender wrote off $200,000 of mortgage debt to facilitate a loan modification or short sale, the borrower or seller would have been taxed on that $200,000 at regular marginal rates, just as if he or she had earned it as wages. The Mortgage Debt Relif Act proctects you and helps exclude you from having to pay taxes on the forgiven or cancelled debt. Also your mortgage holder would cover a majority of your closing costs to short sale your home. Such as agent commissions, hoa dues, liens.
DISCLAIMER: Consult With Your Tax Consultant, CPA, and/or Attorney as Individual Stituations May Vary


Fourth and final reason is that if you can stay current on your mortgage while short selling your home. I work with lenders that will be able to get you a new loan 1 day after completing your short sale. I also work with lenders that could help you refinance under the HARP program. I hope this information was useful. Please contact me with any other questions you may have. My Team and I would be Happy to Help.

Chris O. Harrison
Barrett & Co. Realty
0 votes Thank Flag Link Thu Aug 22, 2013
It is not the short sale that harms the credit score, like late payments, or no payment. To talk about options, call me
Aneta Ivanova
Broker sales Person
Certified distress property expert
Urban Nest Realty
0 votes Thank Flag Link Thu Aug 22, 2013
Thank you for your response. Because of late payments and no payments, my credit score has suffered a lot. Is there a way that I can make no payments not affect my credit score ?
Flag Thu Aug 22, 2013
Thank you for your response. Because of late payments and no payments, my credit score has suffered a lot. Is there a way that I can make no payments not affect my credit score ?
Flag Thu Aug 22, 2013
You do need to do a short sale and if you will call me, I will explain to you the effects a short sale has on your credit. You might be very very surprised. I hope to hear from you. Becky 702-299-5363
0 votes Thank Flag Link Thu Aug 22, 2013
That is a bold statement Becky; "You do need to do a short sale". There is not enough information here for you to know that.
Flag Thu Aug 22, 2013
Give me a ring and let me check you values - zillow is not 100% reliable for values. 702-348-8121
0 votes Thank Flag Link Thu Aug 22, 2013
We specialize in short sales and it may not effect your credit as much as you think.
But, we do have other options that no one else has listed in response to your question.. Please call me to discuss.
Jon 702-525-7368
0 votes Thank Flag Link Thu Aug 22, 2013
I haven't read all these answer to your question. Its a book. Most of the ones I have glanced over is saying the same thing. "Call me and we'll talk".

My short answer to your questions is rent it out for what you can get for 2-3 years and pay the difference. This will give you some room to work with. You will still have the write offs and ownership but you will preserve your credit.
0 votes Thank Flag Link Thu Aug 22, 2013
Don't base a decision as important as selling your home on Zillow's valuations. Your home could be worth considerably LESS or MORE than Zillow shows. It depends when you bought the home. If you bought in 2009-2011, you might be ahead; if you bought earlier, you might be more underwater than you think. You could also move and rent it out and that is a possibility as well. I would be happy to help you. Please call me.

Myra Gouger
Realty ONE Group
0 votes Thank Flag Link Thu Aug 22, 2013
What is your address? You can call me. Zillow has zestimates that aren't always up to date. Call me. I can help and give you true options.
Michele Kubiak
Prudential Americana
Group Realtors
0 votes Thank Flag Link Thu Aug 22, 2013
Hello again,

I understand your dilemma and concerns. Many folks in the last few years have walked in your same shoes. I have helped many homeowners through obstacles as this. If in fact you owe more than it will sell for a short sale might be a viable option for you. I have done many! Honestly, I think their reputation is much worse than reality. If you have a realtor who knows the steps to take and is careful about doing things in a timely way, it can work quite nicely. From what I have been told, it also doesn't necessarily affect one's credit score nearly as much as one might think. There are many variables to the credit score issue.

Under any circumstances, because of tax issues it could be important for you to sell and close escrow before the end of this year if you do a short sale. A good real estate agent will also make sure the terms are acceptable to you with your lender/s.

Please feel free to call me to discuss options for you.

Again, the best for you.

Betty Gammon
Las Vegas Investments and Realty
http://www.GammonGroupLas Vegas.com
0 votes Thank Flag Link Wed Aug 21, 2013
The important question is "why" do you want out of the house? When clients come to me I ask plenty of questions to see just what their goals are and then I help them reach those goals. You would be amazed how many people think they know what they want, and when someone really listens to them, real solutons present themselves. I'm not suggesting you don't want out of your house, I am just saying that there are a lot of questions I would ask you if we sat for 30 minutes that would help me to help you. If you would like to sit and chat, with absolutely no obligation, I would be happy to listen. If I can't help, we will part as friends.

I encourage you to see my tesimonials on Trulia and then give me a call or send me a message.

Jeff Howard
Keller Williams Realty Las Vegas
0 votes Thank Flag Link Wed Aug 21, 2013
Hello djash01,

My best suggestion is to sit done with a Realtor and talk it over to see what options you have and which one is best for you.

Zillow is a good starting point for most home and to get a better idea of what your house is really worth you would need to talk to a professional agent since there are a lot of different things that can affect the value of your home that Zillow doesn't factor in.

If you have any more questions or concerns don't hesitate to contact me I am here to help.

Stephen Messner
Simply Vegas Realty
0 votes Thank Flag Link Wed Aug 21, 2013
Again, have a Realtor provide realistic comps on the neighborhood and your house.

I can provide in 1 hour or less and give you options. Worth a quick conversation.

Call/Text/Email anytime.

Denise Savello
Realtor, MBA
Las Vegas Real Estate and Investments
0 votes Thank Flag Link Wed Aug 21, 2013
Interview several Realtors first. Get comps from each. Chose one who can show you a track record of similar sales and outline their strategy clearly too you. Their record should speak for itself.

Andrew Lunsford
Realtor, Signature Real Estate Group
Own America Investment Certified
0 votes Thank Flag Link Wed Aug 21, 2013
Please email me right away and I'll tell you what home is worth. Then we can discuss option and Short Sale is one of those options. You can't do Seller Financing since you don't own home free and clear. You're options are limited, sorry. Let's start with true value. Matt ----- LasVegasMatt@gmail.com
0 votes Thank Flag Link Wed Aug 21, 2013
The value on Zillow is never accurate. Depending on your property and comps around your neighborhood you might be able to sell it without short selling. Give me a call and I can evaluate your property a little better.

Ean Tizon
(702) 686-1525
0 votes Thank Flag Link Wed Aug 21, 2013
If you notice in Zillow's disclaimers, there's a +/- percentage they can be off. I'm not going to take the time to look. Have a R E A L T O R give you a current "Comparative Market Analysis" CMA for short and find out what it's really worth on TODAYS market.

Joan Bennett, Realtor Invitation Homes 702 219-9582
0 votes Thank Flag Link Wed Aug 21, 2013
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