selling property before you move
Sep 2nd 2009, 9:43 pm
#31
Lost in BE Cyberspace
Joined: Jun 2005
Location: Oz -> UK -> San Diego
Posts: 9,912
Re: selling property before you move
In my experience, things usually work out for the best if there is a strong financial background.
This can be a learning point for many of us: "It's not how much you earn, it's how much you spend".
I do have some tips for the OP, but one month is too short a time frame...6-12 months and I could help
This can be a learning point for many of us: "It's not how much you earn, it's how much you spend".
I do have some tips for the OP, but one month is too short a time frame...6-12 months and I could help
Sep 2nd 2009, 11:14 pm
#32
BE Enthusiast
Joined: Aug 2008
Location: Virginia
Posts: 978
Re: selling property before you move
I'll be in a similar situation to OP which is why I'm not rushing too much to get my visa stamp. I'm hoping that I'll plan (as far as anyone can) to get the visa Dec/Jan so that I put the house up maybe end of January. I have quite a bit of equity and I'm going to need it! Neighbours property sold after three months, I'd consider offers for a quick sale etc. at that point I think.
Sep 3rd 2009, 3:25 pm
#33
Lost in BE Cyberspace
Joined: Jun 2008
Location: San Francisco Bay Area
Posts: 10,678
Re: selling property before you move
Sep 3rd 2009, 3:36 pm
#34
Lost in BE Cyberspace
Joined: Jun 2008
Location: San Francisco Bay Area
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Re: selling property before you move
I read an article in the Times recently that pointed out that difference in the law between the UK and US. In the US you can just hand over the keys and are not responsible for the shortfall if it sells for less than the mortgage. In the UK, if you default and the house is repossessed and sold, the bank can then chase you, i.e., you're responsible for the shortfall. A couple of examples were given where the bank sold the repossessed house for a ridiculously low price - obviously, they could care less because they were legally entitled to go after the former owner/mortgage holder.
However, even if the state is a recourse state, seldom does the lender come after the homeowner unless the owner is sitting on a large bunch of cash.
Sep 3rd 2009, 4:31 pm
#35
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Joined: Aug 2009
Location: Arizona
Posts: 4,130
Re: selling property before you move
Like most things in the US, the laws vary from state to state. Some states are complete non-recourse states on first and second mortgages, others are non-recourse only if the first and second mortgages are initial loans (refinance are recourse loans), others only allows the bank one shot to sue within 6 months of foreclosure, and others are complete recourse states. HELOC loans are usually recourse loans unless you can prove the loan was used to upgrade the home.
However, even if the state is a recourse state, seldom does the lender come after the homeowner unless the owner is sitting on a large bunch of cash.
However, even if the state is a recourse state, seldom does the lender come after the homeowner unless the owner is sitting on a large bunch of cash.
Sep 4th 2009, 3:09 am
#36
Account Closed
Joined: Sep 2002
Posts: 16,266
Re: selling property before you move
I read an article in the Times recently that pointed out that difference in the law between the UK and US. In the US you can just hand over the keys and are not responsible for the shortfall if it sells for less than the mortgage. In the UK, if you default and the house is repossessed and sold, the bank can then chase you, i.e., you're responsible for the shortfall. A couple of examples were given where the bank sold the repossessed house for a ridiculously low price - obviously, they could care less because they were legally entitled to go after the former owner/mortgage holder.
Not quite true and often based upon State law. California law does not allow for difficiency suits on "purchase money deeds of trust." [For historical reasons California does not use mortgages but uses "deeds of trust." ]
However, if one refinances, then the bank can seek a deficiency
I'm not a tax expert, but I recall that a capital loss can only be used to offset capital gains. However, being forgiven of that dificiency is taxable income.
Sep 4th 2009, 6:06 am
#37
Lost in BE Cyberspace
Joined: Jun 2008
Location: San Francisco Bay Area
Posts: 10,678
Re: selling property before you move
Hi:
Not quite true and often based upon State law. California law does not allow for difficiency suits on "purchase money deeds of trust." [For historical reasons California does not use mortgages but uses "deeds of trust." ]
However, if one refinances, then the bank can seek a deficiency
I'm not a tax expert, but I recall that a capital loss can only be used to offset capital gains. However, being forgiven of that dificiency is taxable income.
Not quite true and often based upon State law. California law does not allow for difficiency suits on "purchase money deeds of trust." [For historical reasons California does not use mortgages but uses "deeds of trust." ]
However, if one refinances, then the bank can seek a deficiency
I'm not a tax expert, but I recall that a capital loss can only be used to offset capital gains. However, being forgiven of that dificiency is taxable income.
http://www.irs.gov/individuals/artic...179414,00.html
Sep 17th 2009, 2:34 pm
#38
Dallas
Thread Starter
Joined: Jul 2008
Posts: 220
Re: selling property before you move
sold my flat today- it was only on the market for 6 weeks- happy days
Sep 17th 2009, 2:36 pm
#39
Lost in BE Cyberspace
Joined: Jun 2005
Location: Oz -> UK -> San Diego
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Sep 17th 2009, 2:39 pm
#40
Dallas
Thread Starter
Joined: Jul 2008
Posts: 220
Re: selling property before you move
Actually I am probably getting a bit ahead of myself as the money isn't in the bank yet
had alot more interest than I expected in the end tho so maybe the market is picking up.
had alot more interest than I expected in the end tho so maybe the market is picking up.
Sep 17th 2009, 3:20 pm
#41
Lost in BE Cyberspace
Joined: Jun 2005
Location: Oz -> UK -> San Diego
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Re: selling property before you move
That's wonderful that you had such interest.
