Are there still any mortgage programs to assist with a loss?
Written By: admin on December 21, 2009
3 Comments
I have a townhome in Mass that I may need to take a loss on if I choose to sell. I found a new home for a fantastic deal. Are there any mortgage programs that I can roll the loss into the new home mortgage?
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Tags: home mortgage, mortgage programs, townhome
No, and Jay S. is incorrect- a lender will not lend more than the sales price of the home for any reason. If the house is selling for $100k that is the value (aquisition cost) for the first year- no matter if it would appraise for $200k. The lender can not lend more than aquisition cost on a buy.
No.
Not really unless you negotiate with the seller to place a lien against the new buy to cover the pay off on your townhouse. There are a lot of issues with this. Here is an example.
Lets say the place you want to buy is selling for $300,000.00 and you will still owe $10,000.00 on your townhouse. You would the home to appraise for $310,000.00 and have the seller agree to selling it at the appraised value but take $300,000 leaving the $10,000 to pay off your loan.