You want to avoid foreclosure if at all possible. If you are credit-worthy, maybe you can buy the new home first and rent out the old home to cover your payments. If not, contact a local broker who handles short sales to offer you preliminary advice. The bank usually covers the commission, so no need in selling it yourself - statistics have proven Realtors can get higher prices due to the greater exposure through MLS. Visit with a mortgage loan officer to see if the short sale will affect your ability to get a loan on the new home. As you can see, you have many moving parts, so ask questions and seek as much advice as possible from all sources. Best of luck.
Actively practicing law in Texas. Inactive licenses in Arizona and Georgia. All answers are general in nature and no attorney/client relationship exists in this forum.
It is important to work with both a realtor and an attorney that have experience with short sales, if you choose that option. You should try to avoid a foreclosure to save your credit and ability to obtain financing in the future. My firm handles both short sale representation and deed-in-lieu of foreclosure representation, which is another option. If you would like to discuss your situation further, please feel free to give me a call.