Do you own a mortgage ? Would you sooner have cash instead of a mortgage? You can usually sell your mortgage for cash but will often have to take a discount.
This means that even if the principal balance outstanding on your mortgage is $50,000, you may only get a check for $45,000 cash.
Why is this?
One reason is the costs associated with buying the mortgage. Title insurance, appraisals and commissions. Although you are usually not expected to write a check for these items, they have to be paid somehow. And it will be through the discount you take.
Another is the risks associated with it. Why couldn't the borrower qualify for bank financing? What size down payment did they make? Is the mortgage "aged" that is to say, have you been receiving payments for some time, or are you trying to sell it at closing when you sell your real estate to the buyer/borrower?
There are many factors that control if you will have to give a discount and how much it might be.
You will get the highest price for your mortgage if you offer it for sale to the highest number of people and have them compete for it.
For the most informative site on the internet and to advertise your mortgage for sale click here for:
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