How you can help clients with equity tied up in their homes.
How do you advise a client who wants to buy a house while all of their equity is tied up in their current home? A new agent on our team had this question. In her case, the client couldn’t sell before they bought a new house because they wanted to fix it up and get top dollar. We advised them to get the house they wanted under contract, put a little money down, and move out of their old home.
After that, they can get their previous house ready to sell, list it, and pay the equity toward the current mortgage. This is called a recast. The bank will adjust your mortgage based on the money you’re putting toward it. It’s a lot simpler than refinancing, and it only costs $150.
If you have any questions, send me an email. I’d be happy to talk further.
