How to Know When It’s Time to Sell Your House

Sell Your HouseYour home isn’t your “forever home.” But how do you know when it’s time to sell? Selling a home is a unique, individual process. It depends on the market, your position in life, and your current needs. Here are a few signs that you might be ready.

Your Home No Longer Suits Your Needs

If you’ve gone through a major life change, such as having a baby or retiring, it may be that your once-perfect home is no longer suitable. Maybe you need more space or less space, maybe you need certain features such as a pool, or maybe you just feel that you need room to grow. When your home no longer suits your needs, you have two choices: You can renovate or you can sell. For the most part, selling is usually cheaper if you need to make major changes.

You Can’t Afford Your Property

Are you falling behind every month? If you’re in the red on your property and you think it’s going to be like that for a long time, it’s probably better just to sell. If you hold onto your property for too long, you could just find yourself in a worse financial situation. (On the other hand, if your financial issues are temporary, you might want to hold on.)

There are other options. You can try to refinance your home, for instance. But that often requires an excellent credit score if you really want to get the best benefits.

You Need More Repairs Than You Can Afford

Sometimes, you can get locked into a situation that’s falling apart. Your HVAC system is failing, you need to replace the roof, and the water heater is on its way out. If you need more repairs than you can really afford, it may be better to get out of the house now and move into a situation that’s more comfortable. Otherwise, you’re just going to end up in an untenable situation once the repairs become absolutely necessary.

You Can’t Take Care of Your Home

Maybe you’re too busy to take care of your home anymore, or maybe the task has just become a little too much for you. If you can’t take care of your home anymore, it might be time to downsize. Downsizing a property gives you the opportunity to secure some equity for other things in your life while also ensuring that you have a home that’s the right size for you and your family.

Your Home Has Appreciated Significantly in Value

Sometimes you just want to secure your equity and run. If your home has appreciated significantly in value (such as being in a high-growth market), you might be inclined to sell your property now and then purchase something equally sized (or even larger) in a more affordable area. Sometimes it’s best to capture your equity, especially if you think that real estate in your area may be in a bubble or just accelerating too fast.

You Need to Move and Don’t Want to Rent

There are situations when you just want to move. In those situations, you might be wondering whether it’s time to sell or whether you want to rent it out. Renting out a property does bring you in passive income, but it’s also an immense undertaking. You need to consider whether you want to really become a landlord, or whether it’s easier to sell your home outright and move on. And while you can hire a property management company to manage things, that’ll also cut into your profit.

Sometimes you just know when you need to sell your home. Other times, you need to consider everything before you make an educated decision.

These are all significant signs that it might be time to sell your house. But no one can really tell you whether it’s time to sell your home but you. Whether you’ve outgrown your home or can’t afford it, it’s good to know the options are there. Contact Purple Mountain Holdings today to get a quote.

Why Should I Sell My House?

I Sell My HouseThere once was a time when people would build their home with their own two hands, and then they would live it in for their entire lives. That tradition largely ended a hundred years ago or so. Today, a house isn’t just where you live. It’s an investment. Because of that, it’s perfectly normal to sell a house and move into a new place. No doubt, you understand some of the reasons to sell your house, but if you’re feeling like you’re in housing limbo, here’s a quick list of times when you should really consider selling.

You’re Ready to Upgrade

This is the best, most exciting reason to sell your house. You’re ready to upgrade. Sometimes that just means more square footage. Other times it means the custom home of your dreams. Maybe it’s just a better school district for the kids. It doesn’t matter. There are a lot of ways to upgrade, and when your financial situation allows you to upgrade, selling your house is exciting. Ideally, you’ll be making a profit off of the sale, and you’ll be enough ahead to cover the down payment on the next house. Sometimes, you’re even better off. Regardless, embrace the sale, and make the most of this exciting time.

You’re Ready to Downgrade

Downgrading can be just as invigorating as upgrading. Sometimes, downgrading is about getting a less expensive house to help with the finances. That’s fine. Other times, it means you don’t want to have so much house to manage. Knowing that and choosing to downgrade is a great decision. When you sell your house, there’s a good chance you’re going to come out way ahead on the next one, and your finances will be simpler. You’ll also be better able to take care of the new place and have a chance to be happier all around.

You’re Struggling Financially

This is not so exciting, but it happens to the best of us. Almost everyone has run into financial trouble at some point or another. If your mortgage has become unbearable, selling your house is usually the best way out. You can conceivably sell the house for enough to settle the mortgage and have something left over. Even when that’s not the case, selling can still be the best way out of the mortgage so you’re free and clear.

You Have an Opportunity for Financial Gain

On the flip side, there are times when you can sell a house solely to make money. This is what they refer to with timing the market. If housing prices in your area have gone up, making your house worth a lot more than you paid for it, sometimes it’s best to strike while the iron is hot. You might want to sell in order to cash in on that appreciation, and that’s not an unreasonable choice. Selling in a hot market is a great way to make a bunch of money. You can use that money for your next home, and you can expand your portfolio while you’re at it.

You Have To

There are many circumstances that will force you to sell. If your job is relocating you, then you’re going to have to do something with your house. Sometimes, family situations force us to move. Selling is usually the way to go in those times. You might be up against foreclosure, or maybe a natural disaster put your home through the wringer. The list goes on. Here’s the thing to understand. No matter what situation is forcing you to relocate, selling is an option even if you don’t think it isn’t. Even when a fire burns a house to the ground, you own the land it’s on, and that land still has value. It’s tough to see options as opportunities when you’re facing a struggle, but remembering that a sale is still on the table can ultimately help you through a stressful time.

No matter which of these situations applies to you, Purple Mountain Holdings is willing to buy your house. Simply, fill out our contact form, and we’ll make an offer on your house. You can sell your house, no matter the circumstances, and you can do it in remarkably short order and with no hassle at all.

5 Ways to Get Out of Your Mortgage

Ways to Get Out of Your MortgageBuying a house is a huge commitment. Sometimes, first-time homeowners learn that they don’t really want all of the extra work and hassle that comes with owning a house. In other cases, circumstances change, and the house that was great becomes an untenable burden. No matter how you get to the situation, if you want out of a mortgage, you need options. Here are five ways you can get out of a mortgage and into a better situation:

1. Sell Your House the Old-Fashioned Way

By far the most common way to get out of a mortgage is through a traditional sale. Contact a realtor. Put your house on the market. Go through all of the steps, and ultimately, you can sell your house. The goal is to sell for more than you owe on the mortgage. As long as this method is successful, you walk away with no more mortgage and a pile of cash you can use to get started on your next home. Of course, there are no guarantees with a traditional sale, and unless you’re in a very hot market and willing to underprice, a traditional sale can take months to years to complete. But if you have the time, this is the common practice.

2. Deed in Lieu of Foreclosure

If you don’t have time or you just want out now, you can contact your lender and offer a deed in lieu of foreclosure. Ultimately, it’s up to the lender to decide whether they really want to go this route, and market conditions will influence their decision. That said, it’s usually possible to negotiate this kind of agreement. Your lender accepted the house as collateral against the loan in the first place, so it’s not odd to offer them the deed in order to walk away.

It’s important to understand that this option will always lose you money. You’re offering the deed to settle the debt. That means any mortgage payments you made until now are forfeit. You walk away with nothing. You don’t have any more debt, but you don’t have anything to show for your investment either.

3. Refinancing

Most people who are struggling to make mortgage payments should look into this option first. A refinanced mortgage can change your monthly payments. That can make it easier to catch up and/or stay ahead. Refinancing almost always means that you’re delaying the day when the house is fully paid. You also need to pay close attention to interest rates and the total payment schedule. If you’re considering refinancing and don’t know much about it, you should contact your local housing assistance office. They usually offer free counseling to help you make sure your refinanced deal is in fact a good one.

4. Government Assistance

Speaking of government assistance, if you went through any of the federal loan programs, you have extra options. This includes FHA loans, agriculture loans, veteran loans, or any of the other less-common programs. If you’re having trouble making payments, you can reach out to the program office that helped you. They can look into options with you, like refinancing or modifying the loan. A loan modification is similar to refinancing in that it will change your monthly payments, but it’s a little more complicated, and you’ll need to go through an approval process for it.

5. Fast Sale

Ultimately, selling your house is the best way to truly get out of a mortgage. The traditional sale is the most common choice, but it’s not the only way to sell your house. You can consider a short sale or a cash sale.

A short sale is where you negotiate with your lender to sell the house for less than it’s worth but still settle the debt. That’s a complicated negotiation, but it usually gets you out of the mortgage faster than a traditional sale.

The other option is to sell to a real estate investor like Purple Mountain Holdings for cash. We can take you through the entire sales process, and we can get it done in a week, if you’re in a hurry. Simply contact us, and fill out an easy form. We’ll get in touch with you to schedule a walkthrough. Once we see the house, we’ll make you an offer. If you like the offer, we’ll close. If you don’t like the offer, you have all of the other options on this list. It couldn’t possibly be easier.

How to Sell Your House When It Has Tenants

How to Sell Your House When It Has TenantsYou want to sell your house, but you still have tenants. Maybe they’re on a month-to-month lease. Maybe they have another year to go. Regardless, you’re selling an encumbered property. What’s your next step?

Before we even start, you need to know that selling a house with tenants comes with some major challenges. First, showings are harder. You’re showing a house that’s lived in, and often not at its best. Second, most people don’t want to purchase a house with tenants because they then need to deal with those tenants. But there are options that can make this easier.

Make Sure Your House (and Tenants) Are Ready

If there are any glaring flaws in your house, it’s time to fix them. There may be issues such as bad carpeting, but you don’t want to disrupt your tenants. You may need to come to an understanding with them about some of these repairs. Further, you should make sure your tenants are current on their rent. If they aren’t, then it’s going to be even harder to convince someone else to take them on.

Schedule your showings on a specific day, such as Saturdays, so you aren’t disrupting your tenants’ lives too much. That’s for their benefit and yours. You don’t want to interrupt their quiet enjoyment of the property, and you want to give the tenants enough time to clean up before showings.

Look for Investors

Obviously you’re not looking for first-time home buyers or resident owners to purchase your home because they’re going to want to move into it immediately. If you have month-to-month tenants, resident owners are still going to know that an eviction could take a year or more if the tenants decide not to leave. Instead, you should be looking for investors, ideally people who already want to be purchasing rental units. For them, existing tenants could be an advantage.

You can also look for house flippers and long-term investors, the types of people who are in it for the long haul. Many of them are willing to take on tenants in the short term to get an excellent property in the long term. Companies that purchase homes for cash are often willing to wait a little while for them to be vacant. In the meantime, the tenants often take care of the home.

End the Lease as Soon as Possible

If it’s a month-to-month lease, you might want to consider terminating it now even if that means you’ll be on the hook for the mortgage. Realistically, it’s just far easier to sell a house without anyone in it. If someone has a lease for six months, you shouldn’t renew it either. While an investor may be fine being encumbered for the next six months, they might not be fine being encumbered for the next two years. 

There’s another possibility known as cash for keys. Sometimes you can offer your tenants money to move out early. Usually it has to be more than enough to cover their move with some extra. If you’re trying to sell a property now, and if there’s a lot of money on the line, cash for keys can be very effective. But if you’ve got the time and need the rent payments, cash for keys might be an outlay of funds that you’re not prepared for.

Long story short, selling a house with tenants is a challenge. Most buyers don’t want to purchase a house when it has tenants, because it’s such a variable situation. But you’re in luck. At Purple Mountain Holdings, we can make you an offer, even if you have an existing lease. Contact us today to get started.

What Happens to My Mortgage When I Sell My House?

What Happens to My Mortgage When I Sell My House?Are you thinking about selling your house? If you haven’t gone through the process before, you should know that it’s a major financial event with many moving parts. One of the most important things to understand is what will happen to your mortgage when you sell. We’re going to break that down for you right now.

The Exchange of Money

There are several different situations that can arise when selling a house. Typically speaking, people take out a mortgage when they buy a house. They then make regular payments on that mortgage and eventually pay it down. You know this already, but this is what sets the stage for the exchange of money when you sell. How much of the mortgage you owe at the time of selling will be the biggest determining factor in what happens when you sell a house.

Equity vs. Lien

There’s an old saying that until you pay off the mortgage, the bank owns your house. While the sentiment is understandable, the saying isn’t technically true. Instead, lenders use what is called a lien. Basically, this means that they have the right to sell your house if you default on your mortgage. Getting to that point takes time, and until you’re in default, the bank doesn’t own anything. You own the house. You just owe the bank money.

So, as soon as you close on the house you’re buying, you completely own it. Whatever the house is worth is completely yours. You just also owe the bank whatever you borrowed from them.

This is what brings us to the concept of equity. Equity is a way of comparing the value of the house to the total of the mortgage. If you take however much you can get from selling a house and subtract whatever is left on the mortgage, the remaining amount is your equity. It’s the total amount of money that will be in your pocket when everything is done. As you make payments on your mortgage, the amount you still owe goes down, and that means your equity goes up.

Knowing this, what does the actual process of selling look like?

Balancing the Ledger

The first step in balancing the ledger is to ask your bank what your payoff amount is. This will be the total amount remaining on the mortgage plus any fees. It will not include interest because you won’t owe any additional interest when you fully pay off the loan. As for the fees, they can include early payment fees, processing fees, and a few others that show up sometimes (like title processing or appraisal). The combined total number you get from the bank (again, called the payoff amount) is what you will owe the bank when you finalize the sale of your house. This helps you figure out a minimum asking price.

If you sell the house for more than your payoff amount (which is the most common scenario), then you use the money from the sale to completely close out with the bank. This means paying every last dime of that payoff amount. Once that is done, you get a check for whatever equity you had in the house. Part of the processing fees that you pay turn this into a single transaction on your end. Everything goes through the bank, so you just get a check when it’s all said and done.

If you sell the house for less than your payoff amount, you won’t get a check when you’re done. Additionally, you’ll still have to make payments on whatever is left of your loan. Before committing to this, you should be able to get a total breakdown of costs and payments from the bank. You can also explore alternative options, one of which is covered next.

Short Sale

If you owe more than you can get for the house, you can look into a short sale. The basic idea is that you negotiate with your lender to see whether they’ll accept a short sale. In this agreement, they get 100% of the money from selling the house (sometimes minus some of the closing costs), and then they forgive the loan. It ultimately means that you’re getting out of your mortgage for less than you owe, but it also means that you walk away with nothing when the transactions are done. It can be beneficial in situations where a property significantly depreciates. That said, a short sale is more complicated and can make it harder to get a final sale approved.

That’s really it. Banks, title companies, and third parties handle the paperwork and logistics of everything. What is most important for you to know as a seller is that you are legally obligated to pay the mortgage with the proceeds of the sale before the money can go anywhere else. That’s true even if you sell the house for cash, which is a simplified case you should consider. Purple Mountain Holdings is a cash property buyer in Colorado Springs. Contact us to see what some of your options are.

Should I Rent or Sell My House?

Rent or Sell My HouseYou’re moving, but there’s one catch. What do you do with your existing house? You can rent it or you can sell it. It’s a hard question to answer, and can be complicated by several factors. Let’s talk about the pros and cons of each.

Renting Isn’t for Everyone

Renting is expensive and time consuming. Many people think it’s free money, but a single bad tenant can take months (or even over a year) to evict, during which time you may be making no money at all. A disgruntled (or careless) tenant can cost tens of thousands of dollars in property damage. And having tenants means you need to take midnight calls because the plumbing is stopped up, and you need to invest in things like new HVAC systems, water heaters, and more.

There are companies that will manage rentals for you, but they take part of the profit. With a single rental, you’re not likely to be making much money, and if anything happens to that rental, the cash flow stops. That’s bad if you’re relying on the income, and it’s even worse if you have a mortgage to pay.

Why Would Anyone Rent?

Some people are afraid of selling their house; they know that they need repairs and renovations, and they don’t have the money to spend. Other people hold on to their home for sentimental reasons, and they hope to keep it within the family. Still others already have tenants in their house, and they don’t want to disrupt them.

Long term, all of these factors may seem to be more significant than they really are. Homeowners can sell their homes without repairs and renovations if they work with professional home buying service like Purple Mountain Holdings. Most of the sentimentality about a property will not only fade with time, but can become a liability with a few bad tenants. Finally, tenants can choose to move at any time, and it is possible to sell a property even if there are tenants already there.

That’s not to say there aren’t situations where renting is ideal.

Renting out your property could be for the best if you plan to hand your property down to your children or grandchildren, or if you plan to move back to the area after a brief absence.

Selling Your House

In most situations, selling your house is absolutely the right call. It’s a clean break. You’re no longer responsible for the property. You’ll get funds right away, and you’ll be able to do with those funds what you wish, including purchasing another home. You can invest the money you get for more reliable, less risky income than rental income.

But what holds many people back is that they aren’t sure they’re going to get fair market value for their house. They may worry about not being able to sell their house if it’s dated, ugly, or old. And they may worry about all the renovations, repairs, and other maintenance they have to do to make the property look sellable and desirable.

All these issues can be solved by working with Purple Mountain Holdings.

At Purple Mountain Holdings, we do our renovations and repairs in-house, and we love rehabilitating old homes with a lot of personality. That means that we’re able to provide fair offers fto properties that otherwise aren’t attractive or that need a lot of work. We can even work with you if there are tenants in place. And since we offer cash for houses, that means that you’ll be able to sell your property fast and move on. There’s no waiting for a mortgage loan to be processed and clear.

Contact us at Purple Mountain Holdings today to find out what we can offer you.

What Is the Foreclosure Process in Colorado?

Foreclosure ProcessIn Colorado, there are two ways that a lender can foreclose: judicial foreclosure and nonjudicial foreclosure. But foreclosure isn’t a black-and-white process. If you’re about to go into foreclosure, the situation may be more complicated than you think. Here is what you need to know about the foreclosure process in Colorado:

Lenders Have Different Rules With Foreclosure

Whether it’s judicial or nonjudicial, you should be aware that different lenders have different foreclosure processes. Some lenders will start to foreclose the second they can — after 120 days of late payments. If four months sounds fast, it’s because it is. Many lenders won’t start foreclosure until six months, and even then, some might take up to a year. It really depends on the lender. It’s possible that you can interrupt a foreclosure using three methods:

  • Selling your house. Sell your house fast enough, and you will be able to pay your bank note off in full, and they will have no reason to foreclose on your property. But many people hesitate to sell their home because they’ll need to make repairs or because they worry their home isn’t ready for the market.
  • Short sales. You can ask your bank if it’s possible for you to sell your property short. If you owe $200,000 on your property, you could sell it for $160,000. This is common if you’re underwater on your loan (if you owe more than it’s really worth).
  • Bankruptcy. It’s not always a great idea, but bankruptcy does stall foreclosure. But that also means that you’re going to have a bankruptcy on file, which is often worse than a foreclosure.

Usually it’s best to talk to your lender. If you’ve experienced a temporary shortfall, they may be able to work with you. But if you really can’t afford your property anymore, there are other options you’ll have to pursue.

The Types of Foreclosure in Colorado

A judicial foreclosure means that the bank has to go to a judge and get an order to foreclose. This will take some time, but you can’t know how long it will take; you should be aware that foreclosure is imminent. Once the bank has a court order, they’ll be able to remove you from the property and sell it.

A nonjudicial foreclosure occurs when the bank has power of sale, which is outlined in your legal documents. “Power of sale” means the bank can sell your property in the event that you fall into foreclosure without having to go to court.

At every stage, you need to be notified of the bank’s actions and intent. You should be notified 21 days before a foreclosure sale, with information about how to cure the sale. You may also be able to stall foreclosure proceedings by filing an “intent to cure” within 15 days, which states that you’re intending on paying the amount owed.

Foreclosure Should Always Be Avoided

There are some serious consequences to foreclosure. Not only will you find it difficult to rent and buy a home in the future, but your credit will be damaged, and you may lose any equity you built in your home. The bank will charge legal fees and administrative fees, in addition to possibly selling the house below market (to get it off their books), so it’s not likely you’ll get much from the sale.

It’s better to take control of the situation.

If you’re heading toward foreclosure, often your best option is to sell your home as quickly as you can, for as much as you can. In this situation, a cash buyer is going to be your best option. You should be able to get fair market value for your property, pay off your mortgage loan, and walk away. You may even be able to walk away with some cash in your pocket, to start a new life altogether.

Purple Mountain Holdings Can Help

At Purple Mountain Holdings, you can receive a cash offer to your house as soon as possible. You don’t need to make any repairs, renovations, or updates. You don’t need to worry about the amount of time it will take to get the mortgage loan through. Purple Mountain Holdings can offer you cash for your property. Contact us today to find out how much we can offer you for your home.

Why Won’t My House Sell?

My House SellYour house has been on the market for months, but it just won’t sell. You’ve watched other houses on your block hit the market and within just a few days they’re snapped up. What’s going on with your property? Why won’t it sell?

Every property is unique, and every market is unique. But there are some common reasons why a house won’t sell.

It Isn’t Priced Right

This is the most common issue. Your home may simply be priced too high. Many people price their homes too high because they’re thinking about the amount of money they’ve put into it. Unfortunately, most home repairs don’t have great ROI, and those that do have “great ROI” still don’t pay for themselves. When you DIY your kitchen, you could spend $40,000 on new cabinets — but that might only increase the price of your home by $20,000.

Keep in mind that, for the most part, you can’t price yourself out of your neighborhood. If other homes are selling for $200,000 to $300,000, your home is not likely to sell for $400,000 even if it’s significantly better. It’s better to have the lowest priced home in a high-priced neighborhood than the highest priced home in a low-priced neighborhood.

There’s Something Wrong With It

There are things that are simply deal breakers for many people. There could be something that is glaringly wrong with your property. Perhaps it just isn’t attractive from the street. Maybe it has an awkwardly sized yard or a yard that’s just too small. Maybe you’ve converted your garage into living space. It may have been perfect for your family, but buyers want to see a garage.

If there’s something wrong with your property, you’re not likely to be able to sell it without changing that aspect or without giving the buyers a break. If you have old, worn carpeting, you can always offer the buyers $4,000 off to replace the carpet. But even so, if you’re in a competitive market, the buyers may just not want the additional hassle.

You Aren’t Marketing It Correctly

A lot of marketing today happens online. If you don’t have great pictures and a wonderful description online, it’s going to be hard to get buyers in. If you’re not seeing many prospective buyers at all in your area, take a look at your MLS. It may be inaccurate, or it may just be unappealing.

Your real estate agent is generally responsible for marketing your property. But not all real estate agents are made equal, and if your home isn’t a huge catch for them, they may not be giving you 100% of their attention.

There Are Renters in the Property

Renters are the death of a real estate sale. Most people simply don’t want to purchase a property with existing renters, even if they intend to rent the property out themselves. There are simply too many situations in which the renters turn out to be nightmares, because the buyer hasn’t vetted those renters themselves.

You can avoid this issue by waiting until your renters are out before selling your property. Many people assume that having well-paying tenants in place is a good thing, but it’s really not: the buyer has no control over who is in the property that they’re purchasing.

Make It Easy on Yourself: Sell It to the Professionals

If you’re having a hard time selling your home, you should consider selling directly to the professionals. At Purple Mountain Holdings, we purchase properties immediately and in cash. Whether there’s a major issue with the property or you have tenants, we can work out a fair deal that will get you the cash that you deserve.

There are many benefits to selling directly to professionals. You don’t need to make any costly repairs: We can do it faster and cheaper than you. You don’t need to wait around: We can offer you cash without a loan. And you don’t have to pay a real estate agent to broker your deal. We’ll work directly with you.

If you currently have a house that you need to sell, you can get a quote with us. Contact Purple Mountain Holdings to find out more.

What Does It Mean When a House Gets Condemned?

House Gets CondemnedSometimes it’s unavoidable. Perhaps your house just got away from you. Maybe a sinkhole suddenly appeared. Maybe you inherited a long-neglected house from a distant relative. Regardless of the situation, you could have a home that’s about to be condemned. What does that mean to you?

No One Can Live in a Condemned Home

When a property is condemned, the owner has to remediate the issues or no one can live within the home. The government will condemn a property if it’s been vacant for a long time, if it’s overrun by pests, if there are structural hazards, if the utilities are off, or if it’s otherwise determined to be uninhabitable by an inspector. Because there are some gray areas, there are some ways that a city condemnation can be overturned.

Fixing a Condemned Home

To be considered to be inhabitable, homes have to have running water, electricity, and often heating and cooling. They need hot water, and they need to be clean. The electrical wiring and plumbing must both be safe, and the property cannot have structural issues. Some of these problems are easier to fix than others.

You can get your home “un-condemned” by fixing the problems that the home has. Unfortunately, a property usually has quite a bit wrong with it before it ever reaches condemned status.

Consider the following scenario. Your property is condemned because of a significant pest infestation, along with it being vacant for two months. You can get a pest exterminator to get rid of the infestation and then petition for your property to be inspected again and for it to no longer be condemned. Now you can sell the property and live in it unhindered.

That’s easy.

But that’s not the likely scenario.

More likely, after being vacant for two months with pests, you will also find:

  • That the pests have chewed through wood and caused structural damage.
  • That they’ve eaten through wires and caused electrical damage.
  • That they’ve burrowed into walls and need to be physically removed, even after extermination.
  • That they’ve eaten holes in the attic, and caused massive leaks throughout the property.

Suddenly, a simple problem becomes far more extensive (and expensive) to fix.

When properties fall into disrepair, issues arise very quickly. A property that’s vacant for even a few months can experience serious issues, such as flooding, and with no one there to notice them, they slowly get worse. And even a property that doesn’t have extremely visible issues could have significant issues under the surface, such as mold that has to be remediated.

What Should You Do If Your House Is Condemned?

People with condemned houses can find themselves in a tremendous predicament. They may not have the money to fix the house, but most buyers aren’t going to want to purchase a condemned house. In fact, most buyers cannot.

Buyers who have mortgage lenders will not be allowed to purchase a condemned house. Mortgage servicers only want to see houses that can be moved into—they don’t want a liability, and they want to be able to sell the property easily in the event that they have to foreclose. This limits an individual to cash buyers only.

So, what should you do?

Go to a home buying service.

At Purple Mountain Holdings, we buy houses in cash — even houses that need work. We’re able to do this because of economies of scale — we have the workers and materials available to affordably make extensive repairs. We’ll pay you fair cash value for your property and fix it up ourselves, and you don’t need to do anything at all. For most homeowners, trying to fix the problems themselves will cost them more than they’ll get back in terms of a sales price.

Do you have a condemned home that you want to sell? Do you have a home on the way to being condemned? Contact us today to get a fair quote for your property.

How to Prevent Foreclosure

How to Prevent ForeclosureThere are serious consequences to going into foreclosure. Not only could you become responsible for large fines, penalties, and legal costs, but you could also find yourself unable to purchase another home for years. Foreclosure is always the last thing you want to happen, but many feel powerless to prevent it. You shouldn’t; there are still options available. Here is how to prevent foreclosure:

Your Lender Can Sometimes Help

When people are late on their mortgage, they often stop talking to their lender entirely. It’s understandable. But the lender already knows that they aren’t paying their mortgage. There is nothing to be gained by not talking to them.

Sometimes your lender can help. If you are temporarily behind on your loan, they can re-age the loan by putting the months you were late at the end of your loan. You’ll still need to pay them, but later. They may also be able to give you some additional time to pay.

But not all lenders are friendly.

You May Be Able to Sell Short

If your lender won’t modify your loan in any way, you may still be able to sell short. Ask your lender if they will approve of this. Selling short means you sell your home for less than you owe on it. It means you can sell your house faster to get out of a loan that you may just owe too much on.

Not every lender will approve a short sale, but they don’t want you to go into foreclosure either. A short sale means you can avoid some of those painful legal fees and the damage to your credit, though you are going to have to pay taxes on the amount that they forgive.

You Could Refinance Your Loan

If you’re going into foreclosure because your loan payments are too high, it’s possible to refinance your loan. Think about this: If you have a 30-year loan, but you’ve already paid 20 years of it, you could refinance to another 30 year loan. Your loan will be reset in terms of time, but your monthly payment will be much lower.

Of course, there’s an obvious problem: If you’re in this situation, you probably don’t have the best of credit. You may need a cosigner to be able to refinance at all. You can ask your current lender if they would be willing to increase the length of your loan.

Or You Could Declare Bankruptcy

It’s a last ditch effort, but declaring bankruptcy does stall your foreclosure proceedings. It actually stalls everything. But it’s not likely to be a long-term solution unless you think you can pay for your home as long as your other debts are eliminated. Bankruptcy will hit your credit report for as long as a foreclosure and could cause serious damage to your options in the future, so it’s not something to be taken lightly. But if you think you could handle your home payments absent any other debt, it’s a possibility.

With all that being said, there’s a simpler answer that’s often better …

Sell Your House Fast

The most direct and easiest way to prevent foreclosure is to sell your house as quickly as possible. The faster you sell, the faster you can move on, start rebuilding your credit, and start saving for the house that’s right for you.

Going through a cash-buying service like Purple Mountain Holdings is one of the most direct ways to sell your property fast. We purchase homes in cash without needing appraisals and inspections. You don’t need to remodel or update the house. You don’t even need to paint it!

A foreclosure costs you both time and money. And the money that it costs you can be more than you think, in terms of lost opportunities due to your damaged credit. If you want to be able to move on from the situation now and start saving for the future again, it’s best to sell your property quickly, before the foreclosure process begins.

Do you currently have a property that is approaching foreclosure? Do you need to stop that foreclosure fast? Contact Purple Mountain Holdings to get started.