Hardship is more common than most of us think. It is crucial for all parties, including homebuyers in Houston TX, sellers, and mortgage noteholders, to understand the actual foreclosure process. Here at Move On House Buyers, we completely understand and are comprehensive of the real-life fact that we all do face some type of financial tough times resulting in the mortgage process known as foreclosure.
Shall we get into the details of foreclosure and options to possibly prevent or sell your house in Houston TX fast for cash?
Let’s dive into some of the most common questions and misconceptions regarding the process. We are here to help you even if you have little to negative equity. Together, we can find a solution related to your pre-foreclosure, foreclosure, or fallen-behind payments, but you have to be proactive!
Can foreclosure in Houston be stopped?
The answer is YES! Only if we are proactive enough for us to be able to stop the process. It is often stopped or postponed in many cases with sellers looking to sell fast in Houston.
What Is a Pre-Foreclosure in Houston TX?
Many homeowners across America and Houston are facing difficulties in making their monthly mortgage payments.
When a homeowner misses 3-6 months of mortgage payments, the lending institution will issue a warning, notifying the homeowner to pay or lose their home. This period is known as “pre-foreclosure.”
Banks and mortgage lenders typically provide three months for the homeowner to become current. Of course, this number can vary by bank and situation sometimes.
If a homeowner fails to make the necessary payments, the bank will foreclose on the home, assuming ownership, and evict the homeowner. Thankfully, during this stage of the foreclosure process, a mortgage holder has the opportunity to take advantage of several options to prevent losing their home.
Pre-Foreclosure Options for Borrowers in Houston TX
If you’re behind on mortgage payments, you’re likely to receive a “notice of default” from your mortgage lender.
This document will state that you have not made mortgage payments for the last 90-180 days. It’s important not to panic.
You have options that can delay or even prevent losing your home in TX:
- If your mortgage is “above water” (meaning you have equity in your house), you may be able to refinance your mortgage to receive lower monthly payments. Check with your local Houston mortgage broker or contact us and we can connect you with a reputable one.
- You may be able to quickly sell your home to a real estate investor that’s reputable in Houston like us at Move On House Buyers using the cash acquired to pay the months of back payments owed (or we *may* be able to work out something with the lender that relieves all or part of your back payments). We can buy your Houston TX area home quickly, often in just a week or two, will pay in cash, and take the stress out of trying to find a Houston home buyer.
- You can contact the bank and ask them to permit a short sale. In a short sale, you’ll sell your home for less than it’s worth, and the bank will take the loss as a tax write-off. In some short sales, you may still be required to pay the difference to the bank if the house doesn’t sell for what is owed on the loan.
- You may be able to declare bankruptcy, which can buy you time to pay your debt. Bankruptcy will remain on your credit report for years and can cause significant damage.
Lenders are very much aware of the widespread financial troubles across the country and they’re willing to work with borrowers a lot of the time.
If you’re honest and communicate with your lender, you’ll often find that there are options that will allow you to remain in your home, or at least salvage your credit rating.
A foreclosure can often negatively affect your credit score by 200-400 points and can prevent you from obtaining a loan of any sort for 5-7 years, so be very dutiful if you’ve received a Notice of Default from your lender.
But, if you’re not able to find a solution with your lender working directly with them, connect with us. We may be able to help.
Ways We Can Help If You’re in Pre-Foreclosure in Houston TX
- We can potentially help with a short sale – Submit your info on this website so we can evaluate your situation to see if we can help.
- We can buy your Houston area house – We buy properties in Houston and would love to make you an all-cash offer on your house too. Just fill out the form here to get started >>
- You can ask us questions, and we can provide you FREE guidance and resources so you can make a well-educated decision. This costs you nothing and there’s absolutely no pressure and no obligation… just free guidance without a catch.
Sell My House in Houston TX
- Short Sale Example – John and Mary unfortunately have had some medical difficulties with a family member and had fallen behind payments due to prioritizing health bills. They quickly transferred to the city that provided the best healthcare to their beloved loved family member. Move On House Buyers quickly started communications with the bank and started the short sale process in which the banks accepts an amount lower than the mortgage instead of aggressively foreclosing.
If you’re in the pre-foreclosure stage, you’ve still got time to fix this situation. Just connect with your bank to see if they’re willing to work with you… or contact us, the local Houston TX home buyers, if you’d like to see what we can buy your property for or to tap into our free foreclosure resources. Sell your house in Texas area. Check us out! We offer cash for houses in Houston TX. No obligations to accept.