Dan Dettmann - RE/MAX Associates - La Jolla Realtor
Real Estate Specialist
Discover Why "Dettmann Means Done!"
(619) 246-7076
Under Water?  Now What?
 If your property is under water, you surely know what it means – your property value is less than what you owe. That's not a fun situation to be in. While some people opt to just walk away, taking that route can have dire consequences.

 What's the best alternative for you?  Loan modification?  Short sale?  Foreclosure?

 We'll talk about those options here, but the best thing for you to do is to . . .

You start Getting Relief & Results the Moment you Call Now  

While having the bank or lender modify your loan seems like a great alternative on paper – the fact is, not many of the applications are turning into actual modifications. If you have counted on being able to get a loan modification and it's not working out as you hoped, you may want  (or need) to take steps to minimize the damage.

What could be worse than having to move from your home? Bad as it may seem to be uprooted, it can be worse. A decrease in yur credit rating and other problems associated with your next options should be carefully considered before making your decisions. 


If you know you can't afford your home any longer – whether payments have been missed or not, you may want to sell the home to get out from under the debt. But if you home is worth less than you owe, you want to bank to accept less for the property than what is owed on the mortgage. In other words, the lender is "shorted" on what they agreed to be paid. 

A Short Sale Example

Let's say you have $200,000 left to pay on your mortgage, and you get the bank to accept an offer from a buyer for $180,000. The bank allows this transaction to take place because selling the home now for less money may work out better for them. For the seller's agent, getting the property sold – and negotiating with the bank to accept less than they are owed – is quite a feat. There are mountains of paperwork, guidelines to follow, and negotiations that are best performed by an agent experienced with these matters. On top of the usual tasks involved in a real estate transaction, a short sale entails much more skill. 


We have our own Short Sale Expert. You wouldn't want to go to just any doctor if you needed laser brain surgery. You would want the best, most experienced surgeon with the greatest track record of success with that procedure. It's the same with your short sale.  You need specialized expertise to ensure the best outcomes.  Why would you try to get such an important job done without getting the help you need?


When your property value is gone and there is no hope of recovery, it may be advantageous to sell at a loss. When the home becomes a bad investment, it may be time to cut your losses. 

When a Foreclosure Might Make Sense 

When the property value in a neighborhood decreases over time, it may be advantageous to sell at a loss – even if money is still owed on a mortgage – in order to save money in the long-term. In short, the home is now a bad investment, and losses need to be cut.

While a foreclosure may make sense based on simple calculations, a foreclosure can have long-term credit implications that will influence many aspects of your life for years to come.


Before deciding on a foreclosure, learn what the consequences can be.   Here are some of the credit implications:
  • You will be charged more for financing items like cars - or anything at all.  
  • You may be refused as a tenant in a rental property.  
  • You may even be turned down for employment. 
  • You may not be able to buy another property for seven years.   
When life hands you lemons, you have to work hard to make lemonade . . . or lemon meringue pie.  
At the Dettmann Team, we can help you consider the options and make the choice that best fits your needs - in the near term and moving into the future.  Being under water can be so emotional that it is difficult to see your situation clearly.
Probably the most important thing for you to do is to SEE what your situation is . . . to DECIDE what is best for you to do next . . . and to TAKE ACTION.
No matter what you decide, we wish you the very best.  
You start Getting Relief & Results the Moment you Call Now 

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