Can You Sell Your Home in Waukesha If You Still Have a Mortgage?
Many homeowners in Waukesha, WI wonder if they can sell their home even if they still have a mortgage. The good news is that selling a home with an outstanding mortgage is common, but it requires planning and careful execution. Kallas Real Estate, led by experienced Waukesha Realtor Dan Kallas, is here to walk you through the process and help you get the best deal possible.
Step 1: Understand Your Mortgage Payoff Amount
Why It’s Important
Before listing your home, you need to know exactly how much you owe on your mortgage. The payoff amount is different from your loan balance—it includes:
- The remaining loan balance
- Interest accrued until the payoff date
- Any prepayment penalties (if applicable)
How to Find Out Your Payoff Amount
- Contact your mortgage lender and request a payoff statement.
- Ensure that you account for any penalties or fees that may apply.
Step 2: Determine Your Home’s Market Value
Why It Matters
To sell your home successfully, you need to ensure that its market value is higher than your mortgage balance to avoid owing money at closing.
How to Determine Market Value
- Work with Kallas Real Estate to conduct a Comparative Market Analysis (CMA).
- Analyze recent home sales in Waukesha’s real estate market.
- Consider home improvements or renovations that may add value.
Step 3: Estimate Your Net Proceeds
What Are Net Proceeds?
Net proceeds refer to the amount you’ll walk away with after paying off your mortgage and covering closing costs.
How to Calculate Net Proceeds
Selling Price – (Mortgage Payoff + Closing Costs + Realtor Fees) = Net Proceeds
Common Closing Costs to Expect
- Agent Commissions (typically 5-6%)
- Title Fees
- Property Taxes
- Seller Concessions (if applicable)
Step 4: List Your Home for Sale
Why Working With a Realtor Helps
Selling a home with a mortgage requires careful pricing and marketing. Kallas Real Estate ensures that your listing gets maximum exposure through:
- MLS Listings for broad reach.
- Professional photography and virtual tours to attract buyers.
- Social media advertising and email campaigns.
Pricing Strategies
- List competitively to generate interest.
- Be strategic with pricing to avoid appraisal issues.
Step 5: Handle Offers and Pay Off the Mortgage
Reviewing Offers
Once offers start coming in, Dan Kallas will help you evaluate them based on:
- Price offered vs. mortgage balance
- Buyer financing strength
- Contingencies that may affect closing
Paying Off Your Mortgage
Once you accept an offer, the escrow company will handle the mortgage payoff at closing. The lender will receive the exact payoff amount, and any remaining funds will be yours.
What If Your Home’s Value Is Less Than the Mortgage?
If you owe more than your home is worth, you have options:
- Short Sale: Requires lender approval to sell for less than owed.
- Loan Payoff from Savings: If feasible, paying the difference avoids credit damage.
- Renting Instead of Selling: Consider holding onto the property and renting it out until the market improves.
Why Work With Kallas Real Estate to Sell Your Home in Waukesha?
- Local Expertise in Waukesha’s Market
- Accurate Home Valuations
- Marketing Strategies to Maximize Exposure
- Seamless Closing Process
Ready to Sell Your Home in Waukesha?
If you’re thinking about selling your home and still have a mortgage, Kallas Real Estate is here to help.
📞 Call Dan Kallas at 414-617-6912 today for expert guidance!
