The best Alaska pre-foreclosure home sales assistance may be extra time from your lender.
If you live in Alaska and can no longer afford your home, one option to avoid foreclosure is to sell the home in pre-foreclosure. Those who qualify may be able to get some financial assistance for selling Alaska homes in pre-foreclosure, but it is rare.
One of the first steps you will need to take before selling your home during pre-foreclosure is getting approval from your lender. The lender must agree to the pre-foreclosure sale terms, such as short sale, when the home will be sold for less than is owed on it. Once the lender has agreed to let you sell in pre-foreclosure, then you can list the house. You should find a real estate agent experienced in pre-foreclosure sales, because many times the agent will have connections to other brokers or interested buyers. The agent may also be knowledgeable in pre-foreclosure home selling financial assistance Alaska residents may receive.
Alaska pre-foreclosure home sales assistance programs offer you incentives like relocation expenses once your home is sold. If you qualify for the Home Affordable Foreclosure Alternatives Program (HAFA), there are other options that could allow you to save your home.
There are several things you should consider before seeking financial assistance for selling Alaska homes in pre-foreclosure. First, if you do not get the lender’s approval, you could extend the selling period for several months. Also, in order to qualify for a pre-foreclosure sale, your home has to be listed as a traditional home first. If it doesn’t sell, then you can consider a pre-foreclosure sale. Furthermore, any potential buyers must have already been approved for a mortgage for your lender to give a final agreement to the sale. This is why it is so important that you work with a real estate agent () familiar with pre-foreclosure sales.
If you do manage to sell your home during pre-foreclosure, you should attempt to get the lender to forgive the difference between the sale price and what is actually owed on the loan. A lender can wait until you are more solid financially and then demand the deficiency if they haven’t agreed to forgive it. There are also tax consequences to selling a home in pre-foreclosure. The forgiven amount is considered income by the IRS and is taxable.
Although there are risks involved with pre-foreclosure sales and only a little Alaska pre-foreclosure home sales assistance, this may still be the best solution to a financial nightmare.
If you are considering a pre-foreclosure sale, QualitySmith can help you with home values and connect you to experienced real estate professionals.