Create an Illinois-style land trust. Call it the "Lori [your last name] Land Trust." (The name doesn't matter at all; you could name it anything you want.) Transfer the ownership of your property into your trust. You're the beneficiary of the trust.
Note: Transferring your property into your land trust does not violate Countrywide's due on sale clause. See http://assembler.law.cornell.edu/uscode/12/1701j-3.text.html -- TITLE 12, CHAPTER 13, Â§ 1701jâ€“3. Preemption of due-on-sale prohibitions. Paragraph 8 exempts: "a transfer into an inter vivos trust in which the borrower is and remains a beneficiary and which does not relate to a transfer of rights of occupancy in the property;"
Now, market the house for whatever market value is. However, what you will be selling is not the house itself, but a beneficial interest in the trust. You then execute a possessory agreement (similar to a lease) with the new purchases. They agree to lease the property from the trust for, let's say, 2 years, or however long you need to go with the mortgage to get out of the presale agreement. The amount of their lease is equal to, or greater than, your cost of principle, interest, taxes, insurance, and any condo or HOA fee. In short, they're paying an amount equal to or greater than your commitment to Countrywide, plus any condo or HOA fees. That money is paid by the resident beneficiaries (the purchasers) to the trustee (the owner), who then appropriately pays Countrywide and your homeowner's association.
The beneficiary agreement provides that after x years (your choice), the property will be brought out of the trust and sold for full fair market value. As a practical matter, though, because the "buyers" (the resident beneficiaries) are also beneficiaries of the land trust, any rise in value will be offset by their ownership rights in the trust. So when the property is brought out of the trust, they refinance the property and the deed is transferred to them. You receive the proceeds--the profits, if any.
I've put a link below with more information. However, it is somewhat complicated. Contact me for more information, if you want. But, to summarize, using this technique will allow you to sell your home with no out of pocket cost to you, other than the cost of setting up the land trust.
Hope that helps.
I hope this email finds you well. Were you able to contact the lender and ask them to waive the pre-payment penalty? The $8,000 sounded like you might be on a bond program or that you received a tax credit was that the case? Those are much harder to have waived. If it was a bond or tax credit you might check to see if making a profit on the sale of your home is a factor in the penalty being enforced. At any rate I hope this has worked out for you and wish you the very best! If I can be of any service to you please do not hesitate to call or email.
Keller Williams Realty
Bottom line is homes are moving super fast now while interest rates are low, no telling what they will do over the next 6 months, more than likely remain super low. I sold a home in 21 days and it closed last week.
I'll help any way I can.
Nathan Beckey, Northwest Fort Worth Realtor
(m) 817.691.3602 (e) firstname.lastname@example.org
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Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
Flat fee might be an option however you will still need to offer a 3% commission to buyers agents out there. The other thing is not against what these companies do we will do something like this. However depending where you home is in Keller will depend on pricing your home correctly and also, get the marketing that will help you get your property out in front of as many buyers as possible over the competition. You will pay this fee up front and if you don't sell you in most cases you don't get your money back.
Bottom line make sure who you do business with YOU trust follow your gut listen and ask a lot of questions. Interview several before you agree to sign.
YOU NEED TO GET A COMP on your house to determine all the particulars for your home. You might be ablet to negotiate with the lender they could waive the additional expense. You need to work with a good agent that review all the particulars for $$$,$$$ involved lay it all for you. Contact my office if we can be of any further assistance.
I've never seen a 5 year prepayment penalty. I have seen 3year. Remember you will also have approx $16,000 or so closing costs on a sale that size.
Have you talked with a Realtor? There are too many questions that I do not know the answers to right now, however I think a good Realtor might be able to help you. If you are headed for a short sale, then you might want to read my blog
Good luck. Don't wait, act now.
Are you looking to buy another home?
You could maybe work something out that way.
Email me for more info if you like.