The home will be sold for less than the balance remaining on the mortgage.
How it works
You will work with your real estate agent to sell your home. We’ll agree upon a sales price and will apply the proceeds from the sale to the loan.
Some of the loan balance is paid off. In some cases, relocation assistance may be available to help you move out of the property.
Depending on the investor/insurer’s rules, part of the loan balance may need to be paid. If required by the IRS, we will report the remaining loan balance as income on IRS Form 1099. You should ask your tax/financial advisor for information about how this may affect you.