A house raffle is an alternative that proves you don’t need to take a loss on your home to sell it in a bad market.
For example, let’s say you’re a homeowner who needs to sell their home in a timely fashion for whatever reason. The house appraises for $300,000 and the mortgage payoff is $220,000. You list your home for $399,500. While prospective home owners are interested by your property, they have difficulty procuring a mortgage in this market.
Finally, after months have gone by, you finally get one offer for $250,000 by an interested buyer—a $50,000 loss you can’t turn down if you need to sell the property. But with a house raffle, you can get the appraised value of your home on a time table that you define.
With the same home in a house raffle, RaffleAHouse.Com will match the homeowner with a non-profit organization to raffle off the home. The raffle tickets will be priced at $100 each, and only 8,000 tickets will be sold—competitive odds to win a home!
When the day of the raffle arrives, a lucky family wins your home with no mortgage responsibility—they only need to deal with the taxes on the property, which are much more affordable when they’re not combined with the price of the property. At the same time, your home earns back its appraised value of $300,000, leaving you with $80,000 in profit because you owed $220,000 on the mortgage.
When all debts are settled, the non-profit organization is left with the remaining funds to continue its philanthropic work in the community—and all this instead of losing money on your home!