Selling a Home With a Mortgage in Redlands – Is It Possible?

Can you sell a home with a mortgage in Redlands?

Yes, you absolutely can sell a home with a mortgage in Redlands. In fact, most homeowners do. With the right pricing strategy and expert guidance from Mercedez Speaker at Coldwell Banker Town & Country, the process can be smoother than you think.

How Common Is It to Sell With a Mortgage?

Very. According to Zillow, nearly 62% of U.S. homeowners still carry a mortgage when they sell. In Redlands and the greater Inland Empire, where homeownership often includes 15- to 30-year loans, this is completely normal.

You’re not alone—and you’re not stuck.

Step-by-Step: How to Sell a Mortgaged Home in Redlands

1. Figure Out Your Payoff Amount

Before you list, contact your mortgage lender and request a payoff statement. This will show how much you still owe, including interest up to your estimated closing date.

2. Get a Realistic Market Value

This is where Mercedez Speaker comes in. She’ll provide a free, personalized home valuation based on comparable sales in Redlands, your home’s condition, and neighborhood demand.

This helps you understand if your sale proceeds will comfortably cover your loan—and what you might net after fees.

3. List and Sell the Home

Once listed, the sale proceeds will go to:

Paying off your mortgage
Covering closing costs (typically 6–8%)
Any remaining equity goes to you

The escrow company handles this payout process automatically.

4. Pay Off the Loan at Closing

At closing, your mortgage is paid in full directly from the proceeds of the sale. You don’t have to do anything manually.

If your sale price is higher than what you owe, you keep the difference. If it’s lower, you may need to bring cash to closing or work out a short sale—Mercedez can guide you through both scenarios.

What If You Have Multiple Loans or a HELOC?

Selling is still possible. Your title and escrow officer will ensure both loans are paid off at closing. Here’s how it works:

Primary mortgage is paid first
Second mortgage or HELOC is paid next
Any leftover equity is yours

Just be upfront with your agent so they can calculate your net proceeds accurately.

How Much Equity Do You Need to Sell?

There’s no hard rule, but ideally you want at least 10% equity to cover real estate commissions, closing costs, and still walk away with a profit.

Don’t know your equity? Here’s the quick formula:

Home’s current value – Mortgage balance = Your equity

Mercedez can help you run these numbers in detail so you’re not guessing.

Local Market Snapshot: Redlands, Summer 2025

Median home value: $598,000
Avg days on market: 34
Avg seller net after closing: 8%–12% of home value (depending on equity and loan balance)

If you’ve owned your home for a few years, there’s a good chance you have enough equity to sell comfortably.

Can You Sell If You’re Underwater on the Loan?

Yes—but it gets more complex. This is known as a short sale, where your lender agrees to accept less than the full payoff.

You’ll need:

Lender approval
Proof of financial hardship
A skilled negotiator (hint: Mercedez has experience here)

While not ideal, it’s sometimes the best option for avoiding foreclosure.

Don’t Worry About the Paperwork—That’s What Mercedez Is For

From gathering loan documents to communicating with escrow, Mercedez Speaker handles the details so you can focus on your next chapter.

She works with trusted local escrow and title companies in the Inland Empire to ensure everything is accurate and legally sound.

Common Questions From Redlands Homeowners

What happens if I’m behind on payments?

You may still be able to sell before foreclosure starts. The key is to act fast. Mercedez can connect you with foreclosure specialists.

Can I use sale proceeds to buy my next home?

Yes, if you have enough equity. Mercedez can help coordinate a contingent sale or work with a lender to secure your next loan.

Will I owe taxes on the sale?

Possibly. Always consult a tax advisor. But most primary home sales qualify for a capital gains exclusion.

Final Thought: You’re Not Trapped by Your Mortgage

Whether you’ve owned your Redlands home for 3 years or 13, having a mortgage doesn’t mean you can’t sell. You just need the right plan—and the right partner.

Mercedez Speaker at Coldwell Banker Town & Country has helped dozens of Inland Empire homeowners sell with mortgages and walk away with confidence.

Ready to See If Selling Makes Sense for You?

Reach out to Mercedez for a free, no-pressure home equity consultation. She’ll help you:

Understand your payoff
Estimate your proceeds
Create a smart strategy for your goals

You don’t need to know all the answers. That’s what she’s here for.