Buy low, sell low a winning outcome.

How does one get out of a home if you are "upside down?"

So you purchased a home in 2005 for $400,000 and now this home is barely worth $300,000.

There are several conditions that weigh heavily in the decision to sell if you are upside down.

--- How much of a mortgage do you have on this property?

--- Are you moving up? Do you want to buy a larger home for a higher price?

--- Do you want to move down? Do you want a smaller home at a lower price?

If you have little or no mortgage and you want to buy a more expensive home or a less expensive home, then go -- you will sell low and you will buy low. You are the winner in today's home market. Go buy this new home.

If you have a mortgage that is small enough to enable you to sell, pay closing costs from the proceeds and put 20 percent down on your next home, you are golden. All signals are a go.

For example, if your home is worth only $300,000 and your mortgage balance is in the range of $200,000, you can pay closing costs, and walk away with some cash.

Before you even think of selling, please go to your mortgage lender and make sure you can secure a loan for the home you wish to purchase if you sell low.

If you want to purchase a home valued in today's market for $500,000, you may have to come up with 20 percent down or $100,000 in order to purchase. Sellers, in today's market, will often be willing to pay your closing costs if you purchase their home.

If you do not have money in savings or an IRA that you can borrow from, be cautious about selling.

If you buy low after selling low, then you are doing great. The values are out there in this market.

Do not take the position that you are losing money because you are indeed making this loss up on the buy side. This is either a lateral move, one that keeps you with the same equity, or it is a win for you as the higher-priced home may begin to increase in the future and you will gain more equity.

If you have a home that is overmortgaged, that is, you owe more on your mortgage than what your home is worth, be sure you can sell or move. You may be the one who has to accept where you are and just stay and enjoy your home.

Long term will prove to be OK for you, in my opinion.

But sometimes long term is longer than you want to stay in the home. That is when you have to get creative in finding funds to pay off your home.

Have you an investment that you can liquidate and accomplish your goals? A good financial planner can assist you in this decision.