There are many people who have homes for sale in Fishers or are thinking about selling their home and know that they probably owe more than they can get for their home.  This can cause a lot of sleepless nights. 

In many areas in the surrounding Indianapolis market, the 2009 prices have not appreciated above the 2006 prices.  This means if you bought your home in 2006; you may not be able to sell it for more than what you paid.  This creates negative cash flow when you add in typical seller expenses such as taxes (paid in arrears in Indiana), commissions and title work.

There are options!  You may be able to sell your home "short" and preserve your credit.  Banks have the option of submitting the short sale to the creditu bureau as "Paid in Full" or "Settled for less than full balance".  The problem is when you stop making payments; then your credit score will suffer.  There are ways to sell short while you are making your payments.

In 2007, the U.S. Congress passed the Mortgage Debt Forgiveness Relief Act and it is now in effect through 2012.  The essence is that you will not pay taxes on the debt that is forgiven if it was your principle residence.

We have a short sale or CDPE (Certified Distressed Property Expert) agent on our team.  This is a workpaper she has shared with our team that might be useful to my readers.

If you are being relocated for a job or have a declining market in your neighborhood, your lender may agree to allow you to sell short rather than go into foreclosure.  If you do not become delinquent on your payments, you may be able to sell short and not harm your credit scores. 

This is a very important discussion that is individual specific so please let me know if you would like to talk with me or my team member to see if it might be an option for you or someone you know.

The Marchant Team is about selling real estate, but it is more about creating a win-win situation for each client we have the opportunity to work with in the Fishers Real Estate area. 

Search homes for sale in Fishers by Neighborhood

Other Northside Blogs (Carmel, Noblesville, and Geist)

 Cindy "in Indy" Marchant - Fishers Real Estate Agent
Keller Williams Realty Indy Metro NE
Fishers IN Real Estate Website