Can You Sell a Home in Wichita Falls Without Paying Off the Loan First?

Can you sell a home in Wichita Falls without paying off the loan first?

Yes, you can sell a home in Wichita Falls even if you haven’t paid off your mortgage. In fact, it’s quite common—most homeowners still have a loan balance when they decide to sell. As long as the proceeds from your home sale are enough to pay off your mortgage and closing costs, you can sell your home before the loan is fully paid.

Understanding the Basics of Selling With a Mortgage

Yes, you can sell a home in Wichita Falls even if you haven’t paid off your mortgage. In fact, most homes sold in the Wichita Falls real estate market still have a loan balance. When you sell, the proceeds from the sale typically go toward paying off your remaining mortgage, with any remaining equity going to you.

The key is ensuring your home sells for enough to cover your remaining loan balance, closing costs, and any seller concessions. If not, you may need to bring money to the closing table — or consider alternatives like a short sale.

What Happens to Your Mortgage When You Sell?

When you accept an offer and proceed to closing, your mortgage will be paid off through the escrow process. Your mortgage lender will receive the balance of your loan directly from the title company using proceeds from the buyer’s funds. This process ensures your lien is satisfied and your title is cleared for the buyer.

Selling With Little or No Equity

Equity is the difference between what your home is worth and what you still owe. If you have little equity—or you’re underwater—you may not make any money from the sale. In that case, it’s essential to work closely with an experienced local agent like Tim Lockhart REALTOR®, who can help you weigh your options.

Options may include:

– A short sale (requires lender approval)

– Renting the property until the market improves

– Paying the difference out of pocket at closing

Wichita Falls Market Snapshot (September 2025)

Understanding your local market conditions is critical when selling with a loan. Here are the latest stats from the Wichita Falls Association of Realtors (WFAR) for September 2025:

– Median Home Price: $195,000 (↓ 2.5% YoY)

– Days on Market: 61 days (up 8 days YoY)

– Closed Sales: 152 (↑ 9.4% YoY)

– Median Price per Sq Ft: $127.18 (↑ 2.3% YoY)

– Median Home Size: 1,501 sq ft

– Inventory: 4.6 months (steady YoY)

With a median price of $195,000, sellers with modest loan balances may have enough equity to cover all closing costs and walk away with proceeds — especially if they’ve owned the home for a few years.

Key Costs to Consider When Selling With a Loan

Even if your home sells above your loan payoff, don’t forget to factor in these costs:

– Real estate commissions

– Title and escrow fees

– Repairs requested by the buyer

– Taxes and prorated utilities

– Remaining mortgage payoff, including any prepayment penalties

What If You’re Behind on Payments?

If you’ve fallen behind on your mortgage, selling before foreclosure could help you avoid long-term credit damage. Tim Lockhart REALTOR® can help you evaluate whether you have time to list and close or need to pursue alternative solutions.

Partner With a Local Expert

Selling a home with a mortgage doesn’t have to be stressful — but it does require smart planning. With deep experience helping Wichita Falls sellers, including military and veteran homeowners, Tim Lockhart REALTOR® is a trusted guide who can help you estimate your equity, understand your timeline, and structure the sale for success.

Final Thoughts

Yes, you can sell your home in Wichita Falls even if your mortgage isn’t paid off. The key is knowing your numbers and working with an agent who understands the local market.

To get started, request a personalized home valuation from Tim Lockhart REALTOR® or schedule a strategy session to review your options. You don’t have to figure this out alone.