Do I need to get permission or notify my mortgage company before listing my home for sale?

Asked by Matt, Salt Lake City, UT Tue Jan 20, 2009

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Lesley Denney, Agent, Millington, TN
Tue Jan 20, 2009
Good Evening,

The answer is no you do not need to notify the Mortgage Company, however you can call them and check how much your payoff amount will be, this will give you a good idea along with any other fees what you should list your home for. Also, it sometimes comes as a surprise to some buyers that they may have an early payoff penalty, this depends on how long you have had the property. So, again no and yes! Hope this helps!
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Shawn Ryan R…, Agent, Belleville, NJ
Tue Dec 6, 2011
not at all. even if the case of a short-sale you can list first.
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Jim Anderson, Agent, Salt Lake City, UT
Tue Jan 27, 2009
If you are thinking of selling your home and you owe more than the current market value of the home, then the bank would have to agree to a "short sale" to be able to close the transaction. Other that a short sale, you can list your home anytime without the lenders approval.
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Bill Eckler, Agent, Venice, FL
Wed Jan 21, 2009

No, their interests will be taken into consideration during the closing bu the Title Company or attorney taking care of your closing.
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Thomas Wright, Agent, Salt Lake City, UT
Tue Jan 20, 2009
No. If you have equity in your home then you will be able to market your home for sale to achieve the goal of selling it. Some loans have a hard pre-payment penalty (you pay it if you sell or refinance), some have a soft pre-payment penalty (pay if you refinance but not if you sell) and others don't have any pre-payment penalty.

Now, if you owe more to the bank that you can sell the home for then the best thing to do is to list it "subject to third party approval." Doing that and pricing it aggressively will allow you to get an offer to the bank and will encourage the bank to approve an amount that they would be willing to take short of what you owe -- "short sale." Without an offer getting a third-party approval is very difficult because they are dealing with properties they do have offers on. The lenders are not very well equipped for these economic times so getting them an offer quickly can really help speed up the process.

Let me know if you have any other questions?
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Dallas Texas, Agent, Dallas, TN
Tue Jan 20, 2009
GREAT QUESTION: No you dont UNLESS in are in foreclosure status you might then want to confirm with bank.
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