The word “foreclosure” can be scary. Plus, you’re probably already going through a rough time and the thought of losing your home can be devastating. It’s not easy. We totally get it.
During the 2008 recession, foreclosures were all over the news. It seemed like banks were just waiting to pounce on anyone who missed a couple of payments and immediately take their home to auction it off to the highest bidder.
However, just because you get behind in your mortgage payments, or have even started the pre-foreclosure process, doesn’t mean you don’t have options.
One solution to stopping a foreclosure is to sell your home during pre-foreclosure. During this time, you can put the foreclosure process to a halt, pay your lender what you owe, and have a fresh start.
We’ve helped many homeowners in Chicago do this exact same thing with great results.
Don’t Panic About Foreclosure
If you’re searching online about pre-foreclosures, it’s likely you already have some anxiety about the looming specter of losing your home. We completely understand. We talk to people all the time who have fear and uncertainty surrounding the foreclosure process.
But we’re here to ease your mind. Please know that the bank is not going to take your home anytime soon if you’ve recently received a pre-foreclosure notice.
It can take months, and sometimes even years, for the bank to actually take possession of your home. Of course, if you already can’t make your monthly mortgage payments and late fees and missed payments are piling up, the idea of waiting a long time just to get deeper in debt and possibly lose your home might not be so appealing.
That’s why taking the opportunity to sell your home during pre-foreclosure can be a bright light at the end of a daunting tunnel.
What is Pre-Foreclosure?
Pre-foreclosure is the window of time before the foreclosure process begins. Technically, it is any time between your first missed mortgage payment and the end of the 30 days after you received your Demand letter.
Keep in mind, though: you can sell your home or square up your debt with your lender any time before your home is auctioned or bought by the bank.
So, how do you decide whether or not to sell your home during pre-foreclosure? Most homeowners make this decision when they know they cannot continue to keep up with their mortgage payments.
Benefits of Selling Your Home During Pre-Foreclosure
The biggest benefit of selling your home during pre-foreclosure can be escaping from an overwhelming situation and walking away free and clear of debt. You need to make sure to work with the right company though.
But what other benefits come from selling during pre-foreclosure?
Time to Repair the Property
If you’ve been living in your home for many years (and are like pretty much everybody else), there are often repairs that you’ve been putting off. When you sell your home during pre-foreclosure, you have some time to make these repairs and get top dollar for your home.
Of course, it’s important to get these done quickly if you want to sell your home fast and avoid going into foreclosure.
Work with a Licensed Realtor
Depending on the state of the local real estate market, working with a licensed real estate agent makes sense when selling your home during pre-foreclosure. With their professional resources and education, they can help you get the most money for your property.
However, just finding the right realtor can take a lot of time. Which, frankly, most homeowners going into foreclosure don’t necessarily have. An agent can typically find buyers, but a traditional real estate transaction can be a headache and you have someone negotiating against you trying to pay the smallest amount possible.
Avoid Foreclosure Affecting Your Credit Score
When you can sell your home during pre-foreclosure and avoid the foreclosure process from going through, you can save your credit score from lowering significantly.
As you know, your credit score is vital when getting a loan for a car, a home, or even signing up for a new cell phone plan. They make it very easy to destroy your credit score but very difficult to bring back up.
Other Methods to Stop Foreclosure on Your Home
There are other ways to stop the foreclosure process from going through. One is quite simple, but probably very difficult, and another depends on simply transferring your loan and debt to another bank. Neither of these is the best option. But there’s a third option! And it’s very easy.
Pay What You Owe
Sounds easy enough. Just pay what you owe. But, life happens, and you probably wouldn’t be in pre-foreclosure if this were an option.
Refinance Your Mortgage
Of course, there are always banks willing to pay off your mortgage and then turn around and charge you high interest to pay them back.
Sell Your Home Quickly for Cash
But what if you could simply sell your home for cash? And do it quickly with no need to perform repairs? That would be a pretty great option, right? Well, that’s why we’re here.
We do more than that, though. As a people-first company, we focus on helping others. Your situation is unique and Homes to Harmony works with you to strategize the cash offer that benefits you most. We’re all about YOU.
In just about a week, we can help you settle your debt with your lender so you can walk away stress-free with an untouched credit score, ready to find a new home. At Homes to Harmony, we are truly interested in making sure you get the deal that works best for you and your family.
If you’ve found yourself in a place where you need to sell your property quickly, contact us to learn more about selling your home on your terms.