Can I Sell My Coconut Grove Home While Still Paying the Mortgage? [Expert Advice]

Can I sell my Coconut Grove home while still paying the mortgage?
Yes, you can sell your home in Coconut Grove even if you still have a mortgage. The balance is simply paid off at closing using the proceeds from the sale.

What Happens When You Sell a Home With a Mortgage?

When you sell a home that still has a mortgage, the mortgage lender has a lien on the property. This means you must pay off the remaining loan balance before ownership can legally transfer to the new buyer. Most sellers do this through the sale proceeds at closing.

Here’s a Coconut Grove Example:

You list your home in South Grove for $2.2M. At the time of sale, your mortgage payoff is $600K. Once the home sells, the title company uses part of the buyer’s payment to pay off the mortgage. The rest, minus closing costs and commissions, goes to you.

If your equity is high, your profits will be, too. If equity is low, you may break even or need to bring cash to cover the difference.

Steps to Selling With a Mortgage in Coconut Grove

1. Request a Payoff Statement

Ask your mortgage lender for a payoff statement with the exact amount due through your estimated closing date. This is different from your loan balance and includes interest and fees.

2. Estimate Your Net Proceeds

Have your agent prepare a net sheet showing your estimated profit after the mortgage, commissions, and closing costs. The Riley Smith Group prepares custom net sheets for every listing client to ensure clear financial expectations.

3. Work With a Trusted Local Agent

Coconut Grove’s real estate market moves fast. With over $2 billion in lifetime sales and a deep track record in the Grove, the Riley Smith Group knows how to price, market, and close effectively—especially when mortgage payoffs are involved.

What If Your Home’s Value Is Less Than Your Mortgage?

If you owe more than your home is worth, you may be in a negative equity or underwater situation. While this is rare in high-demand neighborhoods like Coconut Grove, it can happen.

Options include:

• Short Sale: Requires lender approval to sell for less than what’s owed.
• Loan Modification or Refinance: Not always an option, but worth exploring.
• Delay the Sale: If the market is rising, waiting could allow your equity to grow.

The Riley Smith Group can help assess your specific situation and refer you to trusted financial or legal professionals when needed.

Local Market Snapshot: Why Selling Now May Make Sense

Coconut Grove continues to be one of Miami’s most sought-after neighborhoods. Homes in the area are selling for a median price above $1.7M, and demand for single-family homes remains strong in neighborhoods like Bay Heights, North Grove, and the Grove Park area.

Many homes sell quickly with multiple offers. That kind of momentum could mean you have more equity than you think. And with a strategic plan, you can use the sale to upgrade, downsize, or invest elsewhere.

The Role of the Riley Smith Group

Selling a home with a mortgage is common. The Riley Smith Group has helped hundreds of sellers navigate this process confidently and successfully. Here’s what they bring to the table:

• Accurate Home Pricing & Marketing
• Seamless Coordination with Lenders & Title
• Clear Financial Breakdown Before You List
• Local Market Insights From a Team That Lives in the Grove

Final Thoughts: Yes, You Can Sell Your Coconut Grove Home With a Mortgage

Selling while still paying off a mortgage is totally normal—and very doable. With the right local experts guiding you, it can be a smooth and even profitable experience.

Connect with the Riley Smith Group today to find out what your home is worth and start mapping out your next move.