I have a question on how real-estate works out, im having alittle problem understanding the concept. Basically if you purchased a 100k home you use a mortgage broker to offer you the 100k loan for the home. Then through out the mortgage your paying off the 100k and then interest. Ok, I understand that part
What I don’t understand is, lets says you want to sell the home your in, the home cost 100k and you decide you want to sell it, you can’t sell it for profit so you settle with 90k to sell home. When you sell it for 90k, all the money goes to the mortgage company to pay off the principle of the home? Would you then owe 10k to the mortgage company or would that have to be covered by the buyer. Im alittle confused if someone can explain in layman's terms. Thanks.
2006-10-05
07:51:59
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8 answers
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asked by
Charlie M
1
in
Renting & Real Estate