With the current economic problems and the enormous consumer credit crunch, many homeowners are finding themselves struggling to save their home and stop the foreclosure process. You may find yourself in the midst of that struggle right now. There are still methods that can be used to stop foreclosure fast. Below are ways to stop foreclosure in Houston in a hurry.
Loan Payoff / Refinance
This technique only works if you have enough time to the date of foreclosure sale. To be sure that this will work for you, you should ask the bank about a full payoff. Still, it is sometimes the case that there is enough equity in a home for the homeowner to refinance the loan and pay off the loan in full, therefore avoiding foreclosure. Keep in mind that because you are a risk to the new lender you may find it more difficult to get a refinance loan and if you do it will probably be at a much higher rate.
Bankruptcy is a last choice because it comes with quite a few drawbacks. Declaring bankruptcy to stop foreclosure is only effective for a short while. All it serves to accomplish is to delay it until the bankruptcy court says it may proceed. Bankruptcy should not be the answer if the foreclosure is your only major debt.
A short sale is when you come to an agreement with the bank that allows you to sell the home for less than you owe and have that considered as payment in full. If you are considering a short sale, you must have all of your figures in front of you and call your lender with the precise details to find out if they would take a short sale for your property. You should be aware that there can be tax implications to a short sale.
The Deed instead of Foreclosure Option
If you have chosen that you won’t be looking to keep the home, you can avoid the most stressful part of the foreclosure process by offering a “Deed in Lieu of Foreclosure.” This is when you offer the bank the deed to stop the foreclosure process. To determine if your bank would consider such an arrangement, you can negotiate it with their loss mitigation department.
While these ideas may stop foreclosure, preventing it from happening at all is a better option. By acting quickly at the first signs of possible problems, you can stop foreclosure. When you are facing foreclosure, the more time you have, the more choices you have and the better the outcome.
While most people prefer to stop foreclosure proceedings and stay in their home, sometimes this simply cannot happen. Although losing your home can be devastating, in some instances it is the only option. Realize there are many rental homes, apartments, condominiums, and mobile homes sitting vacant. Seek out rental property within your financial means and give yourself the opportunity to make a fresh start.
There is a wide variety of options available to stop foreclosure; unfortunately, many homeowners wait too long before they look for a solution. Time is not usually on your side during a foreclosure. However, there are some options available that do not require a lot of time and may help you stop foreclosure, even if it is last minute.
Cash House Buyers
Contacting a house buyer could be one of the best options for a lot of home owners looking to escape foreclosure. You could be closed in a matter of days in many cases and able to walk away unscaved with cash in hand. While you are typically selling for a price that is below market value when the home is in a pristine state, the purchases are done with repairs in mind that will be done by the house buyer or one of their associate partners. If you’re looking to avoid a long process and want assurance in avoiding foreclosure, then contacting TX Buyers is a great choice.