Local real estate brokers, who are familiar with buyers' expectations in your area, can judge better than I can from this distance. Agents are used to giving free advice. Call a few nearby brokerages. You may well find agents who'd be interested in coming over to see your kitchen firsthand and giving you informed opinions.
Short Sale And IRS
Hello Edith, I just received tax info from the mortgage company about my house that was sold at a short sale. What should I tell my tax person to do with this? I just want to be able to explain it to him the right way. -- R.
Answer: Short sale: You sell for less than you owe, and (in most cases) your lender agrees to cancel the remaining debt.
The bad news is that when you take a loss on the sale of your own home, it's not tax-deductible. The good news is that right now the IRS does not classify forgiven mortgage debt as taxable income.
Just give your tax person the documents. He will know how to handle the sale.
Don't Talk To Buyer
Dear Edith: I have a contract on my home. The buyer is interested in buying some furniture. My broker tells me I may not speak to the buyer at all. No furniture was included in the contract. Why can I not speak to the buyer? -- Via e-mail
Answer: Of course you can speak to the buyer. Your agent must obey your orders, not the other way around.
The broker may be acting in your best interest, though, by advising you not to contact the buyer directly. Both parties can be under stress during the critical time between contract and closing, and it's easy to say the wrong thing. A discussion about the sale of furniture could end up endangering the whole transaction. Wait till you're sure everything else is settled.