8 Solutions on How to Stop a Foreclosure?

How to Stop a Foreclosure?

For many homeowners, foreclosure looks something like this:

You just got a letter in the mail from your lender stating you are behind on your mortgage payments. Instantly you feel overwhelmed, stressed and worried. You might ask, “Can I sell my house to avoid foreclosure?” Or better yet, “what does preventing foreclosure look like?” If this sounds similar to your current situation, I will give you 8 solutions on How to Stop a Foreclosure.

8 Solutions on How to Stop a Foreclosure!

1. Reinstatement or Redemption Repayment – Homeowner pays all money back before foreclosure.
2. Loan Modification – Bank lender restructures the loan terms and typically adds the money owed to the mortgage balance. These newly formed loans help to stop foreclosure.
3. Short Sale – The mortgage lender accepts to sell the property on the market for less than what’s owed by the homeowner.
4. Deed in lieu – The homeowner voluntarily transfers the deed to the bank lender.
5. Bankruptcy – Legal process to discharge or restructure debts. The most common are Chapters 7 or 13.
6. Forbearance – Temporary repayment plan.
7. Mortgage Payment Takeover by an Investor, aka Subject to – Local real estate investors can purchase the house from you and write a check to catch up on your mortgage and make the monthly mortgage payment.
8. Sell Your House Cash To A Real Estate Investor – It’s as simple as it gets; a real estate investor will often pay closing costs, coordinate the closing process, pay cash for the house, and get some money back into your pocket.

What is a Foreclosure?

Let’s be honest; most people have no idea what a foreclosure is, let alone how to Stop a Foreclosure. That’s fine; put on your learning caps for a super short explanation. A foreclosure is when a bank lender attempts to recover the money owed on a defaulted loan. Banks begin by taking ownership of the property and then try to recoup money by selling it. To summarize, if you miss a mortgage payment, the bank will start the foreclosure process. It might take time to get an official notice; however, if you do receive a notice, you need to take action right away!

How Common Is A Foreclosure?

Don’t feel alone when it comes to foreclosure; it is more common than you think! Approximately 32,376 United States properties with foreclosure fillings have taken place in the last year, according to the experts at  ATTOM Data Solutions.

How Can A Foreclosure Affect You?

Unfortunately, the impacts of foreclosures are arguably one of the worst positions to be in regarding property ownership. You might be asking, “how a foreclosure can impact your life?”

• Personal Credit – Every foreclosure causes a dip in credit score by around 100 points!
• 7 Years On Credit Report – A Foreclosure can stay on your credit report for roughly 7 years.
• Issues With Lenders In The Future – More often than not a foreclosure can impact your ability in the future to obtain another bank loan.
• Losing All Equity In Your House – All your hard-working hours and payments towards a house comes to an end. A foreclosure is not a homeowner selling the property. The bank takes it back and does not give you back a dime. Leaving you with bad credit and zero money.

Can I Sell My House to Avoid Foreclosure?

Short Answer – YES! You would be surprised how many people ask us, “how can I sell my house to avoid foreclosure?” The process is super simple- possibly one of the easiest ways to prevent foreclosures. If you want to avoid all the negatives that come with a foreclosure, such as a hit on credit, seven years of bad luck on your credit, and all your equity drained, you might consider just a quick conversation with us. We have ways to stop foreclosures immediately. Our options to avoid foreclosure include a Cash Home Offer or Mortgage Payment Takeover Offer. Check out the two options below.

Preventing Foreclosure – 3 Simple Steps To Take.

It’s crucial as soon as you receive a notice from the bank or lender that, you take these steps to prevent a foreclosure! Here’s the game plan:

1. Call Your Lender or Bank – Although you will be severely stressed and anxious, remain calm and treat the bank representative respectfully. In return, they will be more open to helping you resolve any issues.
2. Ask your lender what options they have – It sounds simple; however, the last thing the bank wants to do is foreclose on you. Banks also want to help with preventing foreclosures. WHY? Because they lose money from each foreclosure.
3. Reach out to us for a cash home offer – While you are waiting for the bank, or if it’s too stressful dealing with the bank, we can make you an instant cash offer for your property. As stated before, most people ask, “Can I sell My house to avoid foreclosure?” YES! Click the link below.

Ways To Stop Foreclosure Immediately?

So, if you are interested in how to stop a foreclosure and want to learn how preventing foreclosure can help? We’ve created free online guides to help homeowners like you find out your options for getting out of the sticky situation you’re in.

You aren’t the first to go through a foreclosure… and you won’t be the last. So don’t feel ashamed. It happens.

The best way to prevent foreclosure is to educate yourself on your options. For some people selling your home is the best option (we’ll make a fair all-cash offer on your house today, just let us know about your situation here), sometimes we can help homeowners STOP FORECLOSURE completely, and sometimes there are other options. So, click one of the buttons above to get your free foreclosure guide.

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About Ready Set Sell My Home

Cody Kewley is the founder and CEO of Ready Set Sell My Home, LLC. As a Real Estate Investor, Kewley has assisted hundreds of homeowners in selling their homes or investment property. A former Grand Canyon University and Summa Cum Laude graduate with a B.S. degree in Business and Entrepreneurship.