To sell in negative equity you have two choices:
1. Look for a buyer and when you get the offer ask your lender if they will take the offer price and convert the remainder to an unsecured personal loan.
2. Look for a buyer and when you get the offer use your savings to cover the remainder.
Option 2 is basically the “wipe out your savings” option.
Option 1 will play out like this:
First the lender will ask you to fill out a standard financial statement, this will have to include your savings, spending, etc.
Then you send that to the lender who will consider... since you have no need for the savings at this point in time they will say: “you have sufficient savings to cover the shortfall, use those, goodbye!”