I am interested in selling my condo in CA, however it has negative equity of around $20k. What happens to it? Do I have to pay it back? Do I have to pay any of that back?
2007-11-15 17:17:24 · 5 answers · asked by meeee_3 2 in Business & Finance ➔ Renting & Real Estate
If you owe 100,000 on your home
and can only sell it for 80,000
THEN you will have to pay 20,000 just to get rid of it!!!!!!!!!!!!
yep - sorry
and nope - it's gone
so - you have 20,000 reasons NOT to sell at this time
2007-11-15 17:21:46 · answer #1 · answered by tom4bucs 7 · 2⤊ 0⤋
You'll have to bring it to closing in order to transfer clear title, or your current lender will not release the mortgage, which means your buyer's lender will refuse to close the transaction.
Negative equity is a big problem in areas of California right now.
2007-11-16 02:10:08 · answer #2 · answered by Expert8675309 7 · 0⤊ 0⤋
You may need to hold onto it and use it as a rental property until you can get your money out of it. It will go back up the only question is when. Maybe one of your family or friends can rent it, check out all of your options.
2007-11-16 01:27:26 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Yes, you have to pay it back. Your mortgage company isn't going to take a $20,000 loss - you are. Sorry.
2007-11-16 01:21:49 · answer #4 · answered by mollyflan 6 · 0⤊ 0⤋
You either pay it back, or roll it into the next purchase and hope you do better this time.....
2007-11-16 01:27:14 · answer #5 · answered by Anonymous · 0⤊ 0⤋