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Modified loan, sell property

Posted on: 14th Nov, 2011 11:58 pm
I cosigned for a mortgage for my grandmother through CITI with her. However, I had to modify the mortgage about a year ago. I, however, now want to sell off the property. How would I go about selling the home with a modified mortgage? Would I only owe a payoff on the lowered amount?
It may be a little difficult for you to sell off the property as you have a modified loan on it. Nevertheless, when you contact the buyer, you should inform him about the same and ask him/her to take the decision whether or not he is interested in buying it. I would also consult with a CPA for the tax implications.
Posted on: 15th Nov, 2011 12:16 am
Hello Careyn,

The bank loses money on every foreclosure, as they are not legally allowed to make a profit. As a result, they are more than willing to find a way to keep the collateral paid. If you sell the house after a successful modification, then they are not taking a loss on the property. Even in the event you have to short sell the property, it is more beneficial to the bank to short sell than foreclose. Modification has no refleflection or bearing on the sale of your home, and you will not be charged any extra fees if you sell a home that has a modified note.

:idea:
Posted on: 15th Nov, 2011 05:57 pm
Hi Careyn!

Welcome to forums!

I agree with what Niicss has said!! It will be difficult for you to sell off the home due to this loan modification. However, if you have appointed a real estate broker to sell off the house, then consulting with him will also be a good option.

Feel free to ask if you've further queries.

Sussane
Posted on: 15th Nov, 2011 06:23 pm
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