Get Net Equity Worksheet 2020-2025

The Net Equity Worksheet is an essential tool for assessing the projected net equity of a property. This guide provides clear, step-by-step instructions on how to effectively complete the form online, ensuring you provide accurate information.

Follow the steps to fill out the Net Equity Worksheet effectively.

1. Click ‘Get Form’ button to obtain the form and open it in the editor.
2. Begin by filling in the projected sales price of the property. Enter this amount in the designated field to set the baseline for your net equity assessment.
3. Next, document existing financing. List the balance for the first, second, and third loans in their respective fields. Also, indicate the number of months that the payments are delinquent, if applicable.
4. Calculate back payments, penalties, and costs. Include a 6% late charge and a 3% trustee's fee in your calculation.
5. Assess any back real estate taxes and general liens, factoring in a 10% penalty on taxes and a 10% interest rate on liens.
6. Estimate interim mortgage payments covering the duration from now until a resale is completed. Be sure to specify the timeframe you anticipate for this process (6, 8, or 10 months).
7. Calculate interim property taxes, similar to the mortgage payments, to sponsor your expected costs for the given months until resale.
8. Evaluate any cosmetic fix-up costs, making calculations on necessary repairs or updating tasks. You can figure these costs as a percentage, typically between 6% to 8%, based on age, condition, etc.
9. Detail the loan pre-payment penalty, which may amount to 6 months of interest if the loan is resolved within the first five years.
10. Include contributions to buyer's costs, reflecting a market allowance between 1% – 3%.
11. Calculate the total selling commission, which is generally around 6% for both listing and selling.
12. Finally, list all transactional expenses, such as escrow, title insurance, and termite inspections, typically estimating around 2%.
13. Review your entries, ensuring all amounts are accurate. Once satisfied with your input, save your changes, and you can download, print, or share the completed form as needed.

Complete your Net Equity Worksheet online today to ensure a smooth property evaluation process.