Having to say my house is being foreclosed is something that homeowners never want to have to admit. Unfortunately home ownership comes with a lot of financial responsibilities. Not meeting these responsibilities can lead to serious problems. It can put you in a position of having to say my house is being foreclosed.
Why My House is Being Foreclosed
Everyone has their own unique personal situations. These are comprised of circumstances that can change. There are some common factors that can lead a person into a situation where they have to say my house is being foreclosed.
Change in Health
In order to be able to earn a decent income it means being in good health so you can perform your work duties. This applies to those who work as employees as well as those who own their own business. If poor health interferes with the ability to make money then it has an adverse effect on the finances. This in turn can put a person in a position where they cannot afford to pay their mortgage.
Change in Relationship
It is not uncommon for a couple that is going through divorce to experience a big change in their finances. It may also be difficult to agree on who will be responsible for the house. This includes its mortgage payments. As a result the mortgage can soon end up in default.
Over Extending Finances
Owning your dream home is one thing but being able to afford it is another. Many people over extend themselves financially. This includes the ownership of their home. They soon find out that there is not enough money being generated to cover the monthly expenses. They cannot keep up with the repairs and maintenance.
Any of these circumstances can put you in a position where you are now saying my house is being foreclosed.
Stop Foreclosure Options
When you are dealing with my house is being foreclosed the lender is also not happy about this. Foreclosure procedures are a hassle for them. They would rather find a solution. They may offer some help with foreclosure options.
The lender may offer a compromise. The lender may offer you a grace period as help with foreclosure issues. This may work if your financial situation is temporary. You have to be realistic as to whether this type of help is really all you need. Or, is it just prolonging the inevitable? Will it mean that you eventually will still be dealing with the my house is being foreclosed issue.
A short sale option is something else that may be viable. From a financial aspect it may be better for you to sell your home yourself. The price you get for it may be better than what you would get at auction. Many times the lender will accept this option. This is because it saves them the time and relieves the hassle of the foreclosure procedure.
Filing for bankruptcy is yet again another potential form of help with foreclosure. Many that are faced with the my house is being foreclosed dilemma believe they won’t lose their house if they go bankrupt. In reality all bankruptcy will do for you is to stall the foreclosure process. This is in hopes that you will be given enough time to rectify your financial situation. If this is possible then the bankruptcy trustee will work out a payment schedule. This is to allow you to get back on par with your mortgage obligations.
The Repercussions of Disclosure
Of course there is the embarrassment and sense of failure that may come with my house is being foreclosed situation. This is difficult to deal with when you are already under the financial stress that has led you here. Then there is the worry about how quickly you will have to vacate your home. The next problem is trying to find another place to live. Stop foreclosure options seem to be only viable if your financial situation is temporary. If this is not the case then the negative effects of foreclosure will carry forward . This is because foreclosure also impacts your credit rating.
How To Avoid Foreclosure
If foreclosure can be avoided then those in this situation are going to want to know how this can be done. There are the help with foreclosure options. There is also another how to avoid foreclosure option that has a lot of great benefits to it.
Selling Your Property to a Cash Buyer
There is the option of a quick sale. This is often in reference to hoping a traditional buyer comes along when your house is on the market. This is not always easy and especially depending on the real estate market at the time. Also, if the buyer knows the house is pending foreclosure they are not likely to make a reasonable offer.
The other and perhaps best option is to look for investors who buy houses for cash. There are many reputable investors that buy property in this way. They will not make the purchase based on your dire circumstances. They will pay the price based on the value of the home as the market dictates. It may be lower than what you are expecting but there are several things to keep in mind.
- You will not be paying the real estate fees that you normally would. If you are trying for a quick sale then you would have to rely on a realtor to help you with this. Their fees would be taken out of the sale.
- You do not have the stress and fear of trying to strike a deal with the lender of your mortgage.
- You don’t have to go through the bankruptcy process.
- You don’t have to deal with the embarrassment of everyone knowing that your home is in the foreclosure state.
If you have no options for turning your finances around then seeking out a cash buyer is your best option. This is something that you can do quickly. It is a way to avoid having to say my house is being foreclosed. It removes the stress of not knowing what is going to happen and when regarding your home. Dealing with a reliable cash buyer is really the best answer to how to avoid foreclosure.
Need to Stop Your Foreclosure?
We understand that facing foreclosure is a scary and stressful time for you. That’s why we’re here to answer any questions you might have about the foreclosure process. At I Buy SW MI, we’re here to help you. Ready to sell, or just have a question? Give us a call at 231-392-3262. We’ll give you a no obligations cash offer to help you stop foreclosure in its tracks!