If you are trying to sell your house, you may be finding that it is more difficult than you had expected… especially if your house has any repairs needed that buyers just don’t want to deal with.
Every now and then, homeowners in Pensacola may fall behind on their mortgage payments and foreclosure begins to seem like a looming cloud above their heads. Foreclosure can be detrimental and heart-wrenching, which is why it’s essential to understand the consequences of foreclosure on homeowners in Pensacola thoroughly.
In this article we’ll dive into some of the devastating consequences of foreclosure in Pensacola for house sellers. And what homeowners must know before entering into foreclosure, and other available alternatives.
Let’s start by defining foreclosure: Foreclosure is the legal process through which a mortgage lender cost-effectively dispenses a home if the owner does not make the required payments. Sadly, foreclosure proceedings result in a considerable number of negative consequences for home sellers. First, the homeowner loses their property and any equity built over the years. Second, foreclosure can cause you to plummet your credit which will cause you to have a hard time getting financing for a house, car, or anything else.
Additionally, due to foreclosure proceedings, the homeowner may still owe some debt to the bank, but now without any collateral to use as a bargaining chip. This puts homeowners in an unfavorable position and opens them up to future lawsuits that can be filed by the bank. Worst of all, it results in the dislocation of the homeowner’s family and can be an emotional, devastating process.
Local Pensacola House Buyers Have Lots Of Options For Houses But Fewer Options For Financing
If you are facing foreclosure or are behind on mortgage payments, there are alternative solutions available aside from foreclosure. One of the best and most preferred options is selling your home to reputable home buyers who specialize in buying homes in foreclosure. Like Quality Properties Of Northwest Florida LLC. This alternative helps the homeowner from falling deeper into debt, maintains their property the way it is, and awards the seller some money at closing.
There’s another way to avoid foreclosure which is by working with a nonprofit organizations which will provide foreclosure prevention services. These organizations help homeowners catch up with mortgage payments by providing loans that do not require interest or repayment for a certain period. These nonprofits also provide essential guidance to homeowners throughout the foreclosure process and assist with paperwork.
There are floods of homes on the market, and thanks to the economic turmoil in recent past (and still going on in some areas), some types of houses just aren’t selling as fast as they were 5 years ago… while the “sweet spot” type of house (3 bedroom 2 bath in the middle to lower-middle price range) are selling at a good clip.
Part of it is because lending guidelines have changed since the housing collapse so fewer buyers are out there for some homes… there are still stockpiles of foreclosed houses in Pensacola that keep trickling into the market from banks… and buyers are more choosy than they were in years past because many of them have learned that you can no longer buy a house and bank on the fact that it will appreciate a 3%+ a year in value.
If you are a seller in this market, you may be becoming discouraged and wonder how you can just sell your Pensacola house fast, right?
If it seems like you keep putting more money out to improve your home (or if you have repairs but don’t have the money to do those repairs), but are still having a hard time selling your Pensacola house, you aren’t alone. A buyer’s market makes conditions hard for seller’s to swallow. No one likes to see their home picked apart, criticized, or devalued, but that is exactly what most sellers are dealing with.
Worse yet, due to the devastating consequences of foreclosure in Pensacola, many sellers in the area who hold out for the price they want are getting little action and no offers at all… sometimes leaving the house on the market for months on end.
If you’re interested in selling your house before foreclosure, it’s essential to understand that selling a house that’s currently in foreclosure gives you more leverage during sales negotiations. With the help of a trusted real estate agent, or a trusted home buyer company like Quality Properties Of Northwest Florida LLC.
How Foreclosures Have Driven Local Housing Prices Down
When the housing market crashed and the foreclosures began to roll in, it flooded the real estate market in Pensacola. That means that there is more inventory on the market. When that happens, that drives the price of everyone’s house down because there are more options (at lower prices) for buyers out there.
When there is more inventory than buyers, it devalues the homes for sale.
The jury is still out on whether we’ve climbed out of this foreclosure hole or not. There are still lots of foreclosure houses in the Pensacola area and the banks are still holding many many area homes in their own inventory that aren’t even for sale yet.
But, there are some things you can do in this market to reach your goals with selling your house.
If you’re wanting (or needing) to sell your house you’ve got a couple options you should look at.
- If you don’t need to sell your house fast and can wait the market out… Get A Great Real Estate Agent On Your Side: If you don’t need to sell your house fast and you can pay the real estate agent commissions… it may be best for you to just wait the market out and give it some time for that perfect buyer to come your way and pay the price you’re looking for. The market is improving and if you can sell your house next year rather than now… it may mean a few extra bucks in your pocket on the sale at a higher value. A great real estate agent can help you list the house and market it for you. If you don’t have a god local agent, just reach out to us and we can connect you with some great real estate agents we know in town who have shown they can sell a house fast. Email us over here for a Pensacola area real estate agent referral.
- If you DO need to sell your house fast… look for quick sale options like selling your house to us: Selling your house fast in a market like this can be difficult if you go the traditional real estate agent route… unless you discount your house in a big way. Then on top of that discount you’ll be paying the real estate agent commissions… which takes even more cash out of your pocket in the end. Another option you should look at is selling your house to a real estate investment firm like Quality Properties Of Northwest Florida LLC. We buy Pensacola houses and can make you a cash offer within 24 hours for a fair price. We’re not looking to list your house… we’re actually looking to buy the house from you… we’ll take care of any repair costs after we buy it from you, then we either keep it as a rental property or we’ll turn around and invest our time, money, and expertise into selling the house to another home owner. It can be a win-win-win situation. If you’re looking for full-retail value of your house, we can’t pay that. We do need a discount so we can make a profit on our end, but you won’t ever pay us any fees or commissions.
Reach Out To Us To Sell Your Pensacola, Florida House Fast… Even In A Market Like Today’s
If you have any questions about our local Pensacola house buying service just reach out to us anytime.
You can call us at 850-346-4995 or reach out to us over on our Contact Page.
Or, if you’re ready to get a fair cash offer on your house today, just click the link below to go to our “Fast Offer” form… then fill out some basic info on your house and we’ll be on our way!