What to Do If You Need to Sell But Haven’t Finished Paying Off Your Mortgage

Selling your home before your mortgage is paid off might seem overwhelming, but it’s more common than you think. Whether you need to relocate, downsize, or escape financial hardship, you still have options—even if you still owe money on your home. 

Here’s what you need to know about selling with a remaining mortgage and how an as-is sale with Omaha homes for cash can simplify the process.

Step 1: Find Out Your Mortgage Payoff Amount

Before listing your home or looking for buyers, contact your lender to get your mortgage payoff statement. This document will show exactly how much you owe, including interest and any fees for paying off your loan early.

Knowing this number is crucial because it helps determine how much you need to sell your home to cover your balance. If your home’s market value is higher than what you owe, you may walk away with cash after paying off your loan. If not, you’ll need to explore options like selling as-is or negotiating with your lender.

Step 2: Determine Your Home’s Market Value

Your home’s current market value will play a big role in deciding how to move forward. If your home is worth more than your mortgage balance, you’ll likely make a profit. But if your home’s value is lower than what you owe, you might be facing a short sale or need an alternative solution.

If your home needs costly repairs or updates, this could lower its market value even more—making a traditional sale more difficult. In this case, selling as-is for a fair cash offer can help you avoid costly renovations and close faster.

Step 3: Understand Your Selling Options

If you still have a mortgage, you can choose from a few selling options:

1. Traditional Sale

Selling through a real estate agent might work if your home is in good condition and you have time to wait for the right buyer. However, this process involves showings, negotiations, and paying commission fees, which may cut into your profits.

2. Short Sale

If your mortgage is higher than your home’s value, your lender may approve a short sale, allowing you to sell for less than what you owe. However, this process requires bank approval, can take months, and may impact your credit score.

3. Selling As-Is for Cash

If you need to sell quickly without dealing with repairs, showings, or financing delays, an as-is cash sale may be the best option. Companies like Best Price Homebuyers can give you a fair cash offer, handle the closing process, and help you avoid foreclosure or financial strain.

Step 4: Close the Sale & Pay Off Your Mortgage

Once you accept an offer, your mortgage will be paid off at closing. The proceeds from the sale will first go toward your loan balance, and any remaining amount will be yours. If you’re selling as-is, the process is much faster, and you won’t have to worry about paying closing costs, agent fees, or repair expenses.

Sell quickly with Omaha homes for cash

Selling a home before paying off your mortgage doesn’t have to be stressful. Whether you need to sell quickly or want to avoid costly repairs, Best Price Homebuyers can help you move forward with confidence. Contact us today for a no-obligation cash offer and take the next step toward a hassle-free home sale with Omaha homes for cash!