It’s no secret that real estate isn’t cheap – especially in the Greater Toronto Area. In fact, there’s a very good chance that home is the largest purchase you’ve made (or will make) in your lifetime.
Saving up for a home can be a lot of work, and unfortunately, the job isn’t over once the deal closes. Making a mortgage payment every month for years (decades, really) is a big financial commitment, and unfortunately, some homeowners run into issues.
If you fall too far behind on your mortgage, you could face a power of sale (POS) and potentially lose your home. In these scenarios, it’s (usually) better to sell your home on your own before the bank takes over.
If you’re worried that you can no longer afford your home, you’ve come to the right place. In this blog, I’ll touch on everything you need to know about how to sell your home if you can’t afford it anymore.
Don’t Fall Behind
Owning a home is a big financial responsibility, and no matter how diligent you are with budgeting, life can always throw a curveball your way. Life changes, economic trends, interest rates, and other factors can suddenly throw a wrench into your personal finances. As a result, you may find yourself in a position where you’re finding it harder and harder to keep up with your mortgage payments. So what should you do?
If you’re worried about not being able to afford your home anymore, don’t wait to explore your options. No matter where you’re at financially, you’ll always be better off getting the ball rolling as soon as you can.
Start by getting in touch with your mortgage provider. While nothing is guaranteed, most lenders will have some degree of leniency. Depending on your circumstances, they may offer a short-term solution or alternate terms for repayment.
Looking for advice on selling your home? Check out these related blog posts.
- How to Sell Your House in a Buyer’s Market
- How Much Does It Cost to Sell Your House in Etobicoke?
- How to Sell Your Bungalow Fast
Selling Strategically
If you’re certain that you won’t be able to get back on track with your mortgage, it’s time to look at the next best option, i.e. selling your house. Although it’s not an ideal scenario, it’s a lot better than the alternative – facing a power of sale.
Having to sell your house can be stressful, especially if you don’t want to leave. However, navigating the process on your own terms is by far the best way to protect your financial interests.
If you wait too long, you’ll wind up in a power of sale scenario. This allows your lender to step in and sell your house with little (if any) input on your end.
When a lender sells your home, they’re really just looking to get back what they’re owed in as little time as possible. As a result, you won’t get the best price or return for the property. By taking the reins and selling your home independently, you can make the most out of a less-than-ideal situation.
Step One of Selling
If you need to sell your home, step one is to find a great real estate agent. Ideally, an experienced professional who has a great track record and is local to your area.
Think of your real estate agent as the director of your home sale. It’s their job to ensure your home reaches and resonates with potential buyers. Once you start getting offers, they will negotiate on your behalf to ensure you get the best deal possible. Your agent can also help you find the right place to call home next after the sale.
Selling your condo? Check out these blogs for more advice.
- How to Sell Your Condo in a Buyer’s Market
- Everything to Know About Selling Your Condo in Humber Bay Shores
- 5 Signs It’s Time to Sell Your Etobicoke Condo
Don’t Sell Yourself Short
If you’re selling your home because you can’t afford it anymore, it can be tempting to rush through the sale process so you can move on to your next chapter as soon as possible. However, by doing that, you run the risk of missing out on a big chunk of your returns.
No matter your reasons for selling, taking time to prepare and list your property properly is always the right move. This includes cleaning, depersonalizing, upgrading, staging, and other value-adding strategies. You’ll also want to choose your asking price carefully.
Start Your Selling Journey
Need to sell your home? I’m here to help. With more than 20 years of experience, I know Etobicoke’s homes like the back of my hand. I’ve helped countless sellers accomplish a quick, top-dollar sale – and I can do the same for you!
Ready to sell? Call or text me at 647-239-7587 or send me an email at melissa@southetobicoke.com to get started.
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