There are many times as a real estate agent we are called out on a listing appointment and the sellers look at you like you have two heads on your shoulders when speak to them of what their home may be worth.  Most of the time, these are homeowners that purchased a home in the last 3-4 years.  For the most part the owners were oblivious to neighborhood prices when they purchased the home.  They just signed on the dotted line and picked up the keys after closing.  For some of these home owners, they did not even try to negotiate the price of the home they simply overpaid for the home. Other home owners purchased a home with nothing down.  There were many variety of borrowers.  There were 100% borrowers, and those that had an 80/10/10 or an 80/15/5 andthe seller or builder paid their closing costs for them.  Like I said 100% borrowers.  There were a few homeowners that purchased right but borrowed on the future equity of the home or real estate that giving them a negative equity position.  There were also those that purchased homes with nothing down with suicide teaser rates, and they put off selling the home until the last possible moment.

Many of these homeowners really do not like the truth.  They are like the cancer patient that was just told they only have a short while to live.  These are the sellers in denial.  They will call other agents until one will list the home at what they want, agree with the sellers, and charge little or no commission.  There is onely one problem with that.  It will not sell, and the home value fall even further in price.  What valuable time the sellers had is now lost.  These homes are inline for foreclosure, and equity loss.

1. If you as a homeseller are upside down - you may have to bring cash to closing.
2. Bankruptcy, deeds in lieu of foreclosure- and short sales are not without some long term consequences.
3. Consult an attorney or your accountant for advice if you are upside down.
4. In Georgia - because of all the ramifications - such advice is considered a practice of law.
5. If neighborhood homes are worth 300K - you will not net 450K on your home.
6. Homes with mortgages must appraise.  Buyers that offer you more than market still must appraise..unless the buyers pay any difference.
7. If experienced agents do not want to list your home at your price - home sellers should listen - they are telling them something.