Stop a Foreclosure and Sell Your Home Instead
This has been a difficult year unlike no other in recent history, and millions of Americans are struggling to keep up with their mortgages. Unfortunately, it only takes a few missed payments to become at risk of a foreclosure.
Until it happens to you, foreclosure can seem like something that happens to other families. But in this challenging economy, it can happen to even the most well-intended homeowners. It’s hard enough to face the challenge of having to give up your home and move without the more long-term consequences of foreclosure.
One way to avoid foreclosure when it’s a foregone conclusion is to sell your house to a cash home buyer like Bill Buys Houses. In this post, we’ll break down what that means and when you know it’s your best option. Give us a call to learn more about companies that buy houses for cash.
First Steps When Facing Foreclosure
If you’re facing foreclosure or you know you’re headed there, the best thing to do is to be proactive. First, make sure your lender has notified you of the foreclosure in a legal and timely manner. If this is the case, you may be able to petition a delay of the foreclosure process, postponing it while you evaluate your next steps.
It is paramount to maintain strong communication with your lender during this process. Remember that lenders ideally prefer to work things out with you if possible. They may even be able to offer a forbearance or some type of loan modification agreement.
A forbearance allows you to suspend payments for an agreed upon period of time so that you can have time to work through a difficult financial situation. Forbearances often include additional payments that can end up adding to your financial burden in the long run, so be sure to evaluate the long-term risks of this option before choosing it.
● Loan Modification
It may be possible for your bank to modify the terms of your loan with a loan extension or interest payment decrease. This is one of the most common solutions when avoiding a foreclosure and it allows homeowners to maintain ownership of their property. Unfortunately, for homeowners who are struggling with long-term financial concerns, this may not be their best bet.
If the above options aren’t the best choice for you, you still want to do everything you can to avoid the long-term consequences of a foreclosure. These are some of the consequences you can face if you’re forced to go through foreclosure:
● Credit damage: Even if your financial situation is tricky now, it can change in the future. You don’t want to have to deal with the consequences of this difficult time long after your situation has improved. Getting a foreclosure can affect your credit for years to come, making it extremely difficult to purchase another home or get approved for lines of credit.
● Housing challenges: When your home is foreclosed upon, you’ll lose your housing and may face challenges finding a new place to live due to credit damage. Additionally, you’ll lose any equity you had in your home.
● Financial costs: In addition to any costs you may face from going through the foreclosure process, the expenses of moving and large down payments on new housing can add up.
What About Bankruptcy?
Many homeowners consider bankruptcy as an alternative solution. While bankruptcy may stop the foreclosure process, it is a temporary solution with serious lasting consequences. Even if you manage to hang onto your home for a little while longer, the fallout can affect your credit for years to come.
Sell Your House Fast to a Cash Home Buyer
The best way to avoid foreclosure may be to sell your house to a cash buyer. If you want to avoid foreclosure and sell your home, you may be worried there isn’t enough time to look for a buyer and conduct a sale. With a cash home buyer that buys houses as-is, you can sell your house fast so you can avoid foreclosure entirely and move on with your life. When you sell your house to a cash home buyer, you don’t have to worry about the lasting impact of foreclosure on your credit.
Unlike listing your house on the real estate market, when you sell your house to a cash home buyer, you don’t have to worry about making repairs or cosmetic improvements. Our cash buyers at Bill Buys Houses are ready to buy your home fast, which means you also won’t have to wait for a buyer to get approved for a loan.
If you’re facing foreclosure and worried about your next steps, give us a call. We can have your sale closed within about a week in most cases so you can move on and start rebuilding your credit. Contact us or call to connect with a cash home buyer at 651-270-9191.